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CVS settles Medicaid suit

Woonsocket, R.I. – Locally based CVS Corp. is shelling out $4 million to settle a series of lawsuits that claim the retailer overcharged for partial-fill prescriptions covered by Medicaid and other federal and state insurance programs.

Just last month, ECK MD, a wholly owned subsidiary of Eckerd, plead guilty to over billing the government for Medicaid prescriptions and said it will pay $1.7 million in fines as part of a plea agreement. The company also admitted to keeping poor records and falsely showing that full prescriptions were given to customers when they only received partial doses.

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