Cardinal Health, based in Dublin, Ohio, agreed to pay the U.S. government $8 million to settle claims that it paid two pharmacists kickbacks to buy its prescription drugs.
Cardinal Health agrees to pay $8 million settlement
The U.S. Justice Department alleges the healthcare products manufacturing and distribution company's activities violated the False Claims Act and the anti-kickback statute. The pharmacy owner and the pharmacy consultant who filed the whistle-blower lawsuit will receive $760,000 of the settlement.
Cardinal Health denied the accusations, stating in a news release that the company “strongly believes that it acted appropriately and complied with all applicable laws and regulations.” The company also said in the statement that it settled to avoid the time and expense of protracted litigation.
The Justice Department has recovered more than $7.1 billion from False Claims Act cases since January 2009, according to the agency release.
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