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National Insurance Crime Bureau

First sentencings in S.J. prescription fraud scheme appropriately severe

Many people in South Jersey were outraged to read that public employees and others conspired to defraud the generous health benefits programs provided them by state government and taxpayers. Rightly so.

For 15 months starting in 2015 they ran a kickback scheme through a Louisiana pharmacy, submitting prescriptions for expensive and unneeded compounded medicines, then splitting up the payments by the health plans. Together they made $50 million in fraudulent insurance claims.

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