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Nursing Home Execs Agree to Pay $5 Million to Settle Whistleblower Suit Involving Omnicare

August 7, 2013
Chicago Tribune

Two longtime nursing home operators agreed Tuesday to pay the government $5 million to settle allegations that they took kickbacks related to the 2004 sale of Total Pharmacy to Omnicare.

The plaintiff, former Total Pharmacy employee Maureen Nehls, states in the suit that Omnicare's $32 million purchase of Total included a multimillion-dollar kickback to secure long-term pharmacy contracts with more than two dozen nursing homes the Esformeses operated or influenced.

"People who are in a position to refer Medicaid patients to health care providers should make those referrals with only one goal in mind: the best interests of the patient," said Nehls' attorney Matthew Organ of Goldberg Kohn. "Those who seek to turn the Medicaid program into a pay-to-play scheme will pay the price, as all the defendants did in this case."

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