$15.3M Penalty For Omnicare Over Opioid Allegations

$15.3M Penalty For Omnicare Over Opioid Allegations

Introduction

Omnicare, an Ohio-based company, will pay a settlement of $15.3 million for the allegations of allowing the distribution of opioids and other controlled substances to patients without a valid prescription.

The company was acquired by CVS Health in 2015 and provides pharmacy services for long-term care facilities like nursing homes and assisted living.

Following an investigation by Drug Enforcement Administration field officials and U.S. Attorney’s Offices in Colorado, Oregon, Utah, and Central and Southern California, the settlement was reached on May 6.

According to the court documents, Omnicare's emergency kits, which include controlled substances, can be given to the patients only under doctor's prescription on an emergency basis, but the company failed miserably to control its distribution.

It is also reported that the company violated the federal Controlled Substances Act by excluding the prescriber’s signature or DEA number, and providing incomplete information in written prescriptions.

Apart from paying a settlement of $15.3 million, Omnicare will enter into a memorandum of agreement with the Drug Enforcement Administration that will need Omnicare to improve its monitoring of emergency kits.