West End Services, Inc., a pharmacy based in the Allentown area, and its owner-pharmacist Christopher Leon have agreed to pay $825,000 to settle allegations that they violated the False Claims Act. The settlement addresses claims that between January 1, 2014, and February 24, 2019, the pharmacy billed Medicare for prescription drugs that were not actually dispensed to beneficiaries. The medications involved included Latuda, Humira, Abilify, Invega Sustenna, Seroquel, Acyclovir, Flovent, and Truvada.
“Pharmacy fraud remains a priority for our office and taxpayer dollars should be spent on needed medications, not wasted on fraud and abuse,” said U.S. Attorney Metcalf. “Pharmacies and pharmacists have a responsibility to serve as gatekeepers of a closed system of prescription drug distribution. That responsibility was allegedly used for profit here. This investigation and resolution illustrate this District’s continued emphasis on combatting healthcare fraud, including pharmacy fraud. One of the most powerful tools to combat this type of waste, fraud, and abuse is the False Claims Act, and this District maintains one of the most active affirmative civil dockets in the country.”
The case follows other similar settlements involving pharmacies in recent years such as Pennmark Pharmacy (2024), Future Pharmacy Inc. and JJ Pharmacy (2023), Fountain Hill Pharmacy (2023), Northeast Discount Pharmacy (2022), Murray-Overhill Pharmacy, Inc. (2022), LAN Apothecary, Inc. (2021), and G&A Somerton Pharmacy LLC (2019).
“As U.S. Attorney Metcalf said, this investigation further solidifies this District’s focus on holding pharmacies and healthcare providers accountable for their handling of controlled substances, and the importance of maintaining on honest inventory balance instead of putting profits at the forefront,” said Maureen Dixon, Special Agent in Charge of the Philadelphia Regional Office of the Department of Health and Human Services Office of Inspector General. “Pharmacies are integral partners in patient care, and they are expected to act with integrity. We take allegations of pharmacy fraud seriously, and today’s settlement reflects our commitment to working with our partners to ensure that taxpayer dollars are spent in an appropriate manner — on needed services not wasted on fraud and abuse.”
The Department of Health and Human Services Office of Inspector General conducted the investigation into West End Services’ billing practices. Assistant United States Attorney Alfred J. Vogt and former Assistant United States Attorney Deborah W. Frey led the matter for the U.S. Attorney’s Office with support from auditor George Niedzwicki.
The government clarified that these claims remain allegations only; there has been no determination or admission of liability.
