Saturday, September 23, 2017

Outlaws 101! Don't You Think This Compounding Pharmacy Fraud Scheme Has Done Gotten Out of Hand

Waylon Jennings had a country hit that he wrote and sang entitled, "Don't You Think This Outlaw Bit's Done Got Out Of Hand." See Lyrics here. This song came to mind when thinking about all the compounding pharmacy fraud that has been uncovered in the last several years and is still being uncovered.

Don't you think the fraud in the compounding pharmacy industry has gotten way out of hand at this point? Compounding-related fraud is starting to look like not only the largest healthcare fraud in American history but also maybe the nation's largest financial fraud scheme ever. Time will tell whether it is or not. Civil and criminal cases continue to be brought. The total dollar amount of the fraud will most likely be the largest in United States history. See for example, U.S. Probes Possible Fraud Linked to Compounding Creams
Feb 7, 2016 (noting that the Justice Department is investigating what authorities suspect is half a billion dollars in health-care fraud related to compounded creams); The Government Cracks Down on Compounding Pharmacy Fraud and

Then there is the issue of how much of the money from the fraudulent schemes will ultimately be recovered either through forfeiture or restitution. If the property cannot be traced to the proceeds of the fraud, then substitute assets should be used. If there are no substitute assets, restitution in the amount of the fraud needs to be paid until the total amount of the fraud is repaid. See The Interplay Between Forfeiture and Restitution in ... - WilmerHale by SC Levin 2013

Maybe the compounding industry need to spend less time fighting for amendments to laws and more time helping to clean up the fraud in the industry so that those doing legal compounding and following the laws and regulations can continue to do so and not be forced out of business by those illegal compounders who are violating the law.  
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