Officials investigating possible health care fraud at three northwest Alabama pharmacies said Thursday the quality of medication delivered by the businesses is not in question.
They told the TimesDaily the investigation launched by federal and state agencies focuses specifically on allegations of overbilling and do not include accusations that patients received bad medication.
Instead, allegations involve the possibility that insurance companies, as well as Medicare and Medicaid, were overbilled by Franklin Health Mart Pharmacy and Russellville Pharmacy in Russellville, along with Sheffield Speciality Pharmacy in the Shoals.
Officials said investigators are reviewing allegations that the overbilling involved more than $1 million.
No arrests have been made, according to Dan Girsch, the agent in charge at Florence’s FBI office.
Girsch and FBI officials in Birmingham have declined to discuss specifics of the allegations or the investigation.
Numerous agencies, including the FBI, Federal Drug Administration, Health and Human Services, the state attorney general’s Medicaid Fraud Unit and the Alabama Board of Pharmacy, conducted simultaneous raids on the three pharmacies just before noon Wednesday.
They confiscated boxes of records and other materials, and completed the operation about 11 p.m. Wednesday.
The businesses were open Thursday.
While officials involved directly in the raid have not disclosed details of the investigation, a public relations firm representing Franklin Health Mart Pharmacy issued a statement on behalf of its client.
“Franklin Pharmacy and its employees are cooperating fully with these authorities in their investigation,” the statement from Burr & Forman LLP states. “Franklin Pharmacy looks forward to a prompt conclusion to this investigation.
“Until further notice, Franklin Pharmacy will have no further comment.”
Authorities said it will likely take months to sort through the records and documents confiscated Wednesday.
The business is owned by Tim Aaron, based on the business license filed in Russellville. Rodney Logan is listed on the business licenses as the owner of Russellville Pharmacy and Sheffeld Specialty Pharmacy, which is in Town Plaza shopping center in Sheffield.
Logan and Aaron are former business associates, authorities said.
Franklin Health Mart Pharmacy, which has about 200 employees, has a laboratory at the facility where medications are compounded and shipped to at least 40 states.
Among the possible charges involved in the case include health care fraud, mail fraud, wire fraud, Medicare fraud and Medicaid fraud — all federal charges, courthouse officials said.
Efforts to contact owners of the businesses have been unsuccessful.
Mike Goens can be reached at 256-740-5740 or mike.goens@TimesDaily.com.
They told the TimesDaily the investigation launched by federal and state agencies focuses specifically on allegations of overbilling and do not include accusations that patients received bad medication.
Instead, allegations involve the possibility that insurance companies, as well as Medicare and Medicaid, were overbilled by Franklin Health Mart Pharmacy and Russellville Pharmacy in Russellville, along with Sheffield Speciality Pharmacy in the Shoals.
Officials said investigators are reviewing allegations that the overbilling involved more than $1 million.
No arrests have been made, according to Dan Girsch, the agent in charge at Florence’s FBI office.
Girsch and FBI officials in Birmingham have declined to discuss specifics of the allegations or the investigation.
Numerous agencies, including the FBI, Federal Drug Administration, Health and Human Services, the state attorney general’s Medicaid Fraud Unit and the Alabama Board of Pharmacy, conducted simultaneous raids on the three pharmacies just before noon Wednesday.
They confiscated boxes of records and other materials, and completed the operation about 11 p.m. Wednesday.
The businesses were open Thursday.
While officials involved directly in the raid have not disclosed details of the investigation, a public relations firm representing Franklin Health Mart Pharmacy issued a statement on behalf of its client.
“Franklin Pharmacy and its employees are cooperating fully with these authorities in their investigation,” the statement from Burr & Forman LLP states. “Franklin Pharmacy looks forward to a prompt conclusion to this investigation.
“Until further notice, Franklin Pharmacy will have no further comment.”
Authorities said it will likely take months to sort through the records and documents confiscated Wednesday.
The business is owned by Tim Aaron, based on the business license filed in Russellville. Rodney Logan is listed on the business licenses as the owner of Russellville Pharmacy and Sheffeld Specialty Pharmacy, which is in Town Plaza shopping center in Sheffield.
Logan and Aaron are former business associates, authorities said.
Franklin Health Mart Pharmacy, which has about 200 employees, has a laboratory at the facility where medications are compounded and shipped to at least 40 states.
Among the possible charges involved in the case include health care fraud, mail fraud, wire fraud, Medicare fraud and Medicaid fraud — all federal charges, courthouse officials said.
Efforts to contact owners of the businesses have been unsuccessful.
Mike Goens can be reached at 256-740-5740 or mike.goens@TimesDaily.com.
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