Retail-pharmacist Walgreens has entered into a $35 million settlement with several states, including Tennessee, regarding how it has been filling prescriptions.
Forty-two state attorneys general alleged that Walgreens switched the form of at least three drugs – the generic equivalents of Zantac, Prozac, and a drug used for the treatment of Parkinson’s disease. The three are commonly prescribed for Medicaid patients.
Tennessee senior counsel Peter Coughlan says the difference in price was sometimes two to six times.
“Walgreens was switching the form from a tablet to a capsule to avoid the ceiling on what they could be reimbursed, therefore they could charge whatever they want to Medicaid, the problem with that it that it is illegal under both federal and state law.”
Tennessee will receive about $720,000 from the settlement.
Walgreens has denied any wrongdoing.