CVS, Omnicare Ordered to Pay $949 Million in Drug Fraud Suit (1)

CVS Health Inc. and subsidiary Omnicare Inc. are on the hook for $949 million in False Claims Act damages and penalties for improperly billing federal health-care programs for prescription drugs, a New York federal district court said.

The award reflects $406.8 million in treble damages and $542 million in statutory penalties, Judge Colleen McMahon of the US District Court for the Southern District of New York said in a Monday order. CVS Health is jointly and severally liable for $164.8 million in penalties , the court said.

McMahon trebled a jury’s April 29 $136 million damages award against Omnicare, as ...