Company accused of charging for dead patients' meds settles

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NASHVILLE, Tenn. (AP) — A Nashville company will pay as much as $7.8 million in a settlement related to accusations that it charged Medicare and TennCare for medications for dead patients.

The Tennessean (http://tnne.ws/1MSqyYO ) reports U.S. Attorney for the Middle District of Tennessee David Rivera on Tuesday announced the settlement of the False Claims Act case involving Nashville Pharmacy Services, which specializes in dispensing HIV and AIDS medications.

According to a news release, the company billed Medicare and TennCare for medications for 15 patients after they had died and billed for medications for 22 people who didn't have prescriptions.

The company didn't admit liability, but will have to make contingency payments based on its revenue to the federal and state governments for the next five years. Rivera says those payments could reach $7.8 million.

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Information from: The Tennessean, http://www.tennessean.com