Pennsylvania Compounder Settles False Claims Allegations for $17 Million

Compounder Pentec Health agreed to pay $17 million to settle a false claims case brought by the U.S. Attorney for the Eastern District of Pennsylvania.

Between 2007 and 2018, the Glen Mills, Pennsylvania-based compounding pharmacy allegedly billed federal healthcare programs for excessive amounts of products wasted compounding its own drug Proplete — a nutritional solution formulated for malnourished dialysis patients and diabetics.

The company also allegedly regularly waived patient copays and deductible obligations to promote prescribing and using the drug, as well as submitting duplicate and improperly coded claims to the Federal Employee Health Benefits Program.