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Government Actions
AG Kaul Announces $2 Million Agreement with Hayat Pharmacy
The following describes a government action that has been resolved by either a settlement or a decision by a court or administrative agency. If the matter is being appealed, it will be noted below.
MADISON, Wis. – Wisconsin Attorney General Josh Kaul today announced a $2,050,000 agreement with Milwaukee based Hayat Pharmacy to resolve allegations that Hayat Pharmacy submitted or caused the submission of false claims to Medicare and Medicaid for two prescription medications.
“Pharmacies cannot submit claims to Medicare or Medicaid for medications that aren’t medically necessary or when there’s no prescription,” said Attorney General Josh Kaul. “Pharmacies must dispense medications when it’s medically appropriate, not for the sole purpose of increasing their profits.”
The agreement resolves allegations that Hayat Pharmacy submitted claims to Medicaid for iodoquinol-hydrocortisone-aloe, topical cream, that was not medically necessary and/or dispensed without a valid prescription. On average, Hayat Pharmacy was reimbursed over $6,000 per tube of the topical cream. The government also alleged Hayat Pharmacy submitted claims to Medicare for Azesco, a multivitamin, that was not medically necessary and/or dispensed without a valid prescription. Hayat Pharmacy allegedly switched Medicaid and Medicare patients from lower cost medications to these medications.
Under the terms of the agreement, Hayat Pharmacy will pay to the United States and the State of Wisconsin $2,050,000. The State will receive $702,189.86.
Service Area
- Milwaukee County, WI
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