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Medicare

Inspector general warns against pharmacy kickbacks

Published in Aging and Elder Health Week, May 2nd, 2004

Sponsors of Medicare drug discount cards who pay pharmacists to attract customers to their cards could violate federal fraud and abuse laws, health inspectors warn.

With just a few weeks to educate and enroll older Americans in the Medicare drug cards program, some of the 28 companies offering the cards are considering payments to pharmacies for enrollment help and other activities.

For many Medicare clients, pharmacies are a natural place to seek information about the promised drug cards, which were part of the new Medicare law.

New guidance from the U.S. Department of Health and Human Services inspector general said, however,...

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