Kmart Corp. will pay $84,192.68 under a settlement agreement to resolve allegations that Kmart overbilled the Hawaii Medicaid program more than its usual and customary charge for certain drugs.
Kmart Corp. will pay $84,192.68 under a settlement agreement to resolve allegations that Kmart overbilled the Hawaii Medicaid program more than its usual and customary charge for certain drugs.
The state and federal governments will share the settlement proceeds, according to a statement issued Wednesday by Hawaii Attorney General Doug Chin.
The Hawaii Medicaid Fraud Control Unit in the attorney general’s office worked with several states’ Medicaid fraud units and the U.S. Department of Justice to resolve allegations impacting Hawaii between Sept. 1, 2004, and Dec. 31, 2014.
The overbilling by Kmart, which is owned by Sears Holding Management Corp., was for reimbursement on generic drugs, according to the statement.
“Thanks to the work of the Medicaid Fraud Control Unit in Hawaii and elsewhere, state and federal taxpayer dollars have been recovered,” Chin said.
Kmart has a store at Makalapua Center in Kailua-Kona.
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