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Beshear recovers $22.7M in state and federal Medicaid

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Posted at 11:34 AM, Oct 23, 2019

FRANKFORT, Ky. (LEX 18) — Attorney General Andy Beshear announced Wednesday that his office recovered $22.7 million in state and federal Medicaid funds after reaching an agreement with a pharmaceutical distributor.

Reckitt Benckiser Group, whose headquarters are in the United Kingdom, reached an agreement after they allegedly engaged in misleading behavior that put profits over patients and resulted in losses to Medicaid funds. According to a news release, more than $5.3 million will be returned to the state Medicaid program and the rest will be given to the federal Medicaid program.

According to Beshear, the drug Suboxone is supposed to be used to help recovering addicts reduce withdrawal symptoms during treatment. Without the proper counseling, the drug can be improperly used and result in more addiction.

"Holding pharmaceutical companies accountable has been a top priority for my office," said Beshear. "In an effort to get more doctors to write more prescriptions for drugs, Reckitt pushed misleading claims about their safety and effectiveness, and we are getting those wrongly acquired profits back."

To report allegations of Medicaid provider fraud contact the Office of the Attorney General's tip line at 877-228-7384.