Compounding Pharmacist Guilt of Fraud
The Justice Department says that Jason May, the pharmacist in charge of a Hattiesburg, MS, compounding pharmacy, has pleaded guilty to healthcare fraud charges for his role in a scheme that defrauded TRICARE and private insurance companies out of at least $192 million in payments for medically unnecessary compounded medications. A department news release says that as part of the guilty plea, May admitted that he conspired with others to select compounded medication formulas based on profitability, rather than on effectiveness or patient need. He reportedly also admitted that he conspired with co-owners of the pharmacy to circumvent fraud prevention measures, such as collecting copayments, so that patients had incentives to receive medically unnecessary medications.
In a related case, DoJ says, Gerald Schaar pleaded guilty to one count of conspiracy to commit healthcare fraud for his role in the scheme to defraud TRICARE. He admitted to soliciting doctors and other healthcare professionals to write prescriptions without seeing patients for medically unnecessary compounded medications dispensed by the pharmacy. He also admitted to conspiring with others to falsify patient records to make it appear as though medical professionals had seen patients before the date prescriptions were written.
TRICARE is a healthcare program for members of the U.S. armed forces.