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CVS settles feud over Medicaid

CVS agreed to pay the state of Indiana $400,000 to resolve allegations that the pharmacies falsified bills to Medicaid for prescription reimbursements.

Medicaid’s Indiana Right Choices Program limits access to certain prescription drugs when a patient’s usage indicates abuse. To keep those patients from receiving multiple prescriptions for habit-forming drugs, Medicaid pays only for drugs prescribed by designated doctors.

The Indiana Attorney General’s Office investigation found that CVS employees filled prescriptions written by other doctors, then filed Medicaid reimbursement claims that claimed the doctors were authorized. The settlement agreement covers claims submitted from January 2001 to the present, state officials said Wednesday in a written statement.

Michael DeAngelis, a CVS spokesman, said in an emailed statement that the retailer has not admitted wrongdoing but “has agreed to settle this matter to avoid the delay and expense” of a long court battle.

WellPoint shares fall after new CEO named

Shares of WellPoint Inc. slipped Wednesday, a day after the nation’s second largest health insurer surprised many analysts by picking a veteran hospital executive to become its next CEO.

The Indianapolis company said Tuesday after markets closed that Trinity Health Corp. CEO Joseph Swedish will take over the same post at WellPoint, replacing interim CEO John Cannon. Trinity Health is privately held.

Swedish, 61, has not led a public company as a CEO, but he will bring more than two decades of leadership experience from the hospital sector to his new job when he takes over March 25.

WellPoint has been searching for a new leader since Angela Braly resigned last August amid investor frustration over disappointing financial results.

Judge tosses claims over Facebook IPO

A New York judge is dismissing a key group of the many lawsuits against Facebook over its initial public offering in May, saying the plaintiffs did not show that they lost money because of corporate wrongdoing.

U.S. District Court Judge Robert Sweet also agreed with Facebook’s claims that the plaintiffs could not prove they owned Facebook stock at the time of the alleged wrongdoing.

The lawsuits and others still remaining alleged that analysts at large underwriting investment banks cut their financial forecasts for Facebook just before the IPO and told only a handful of clients. Facebook and the banks say that nothing about its process was illegal.

Toby Keith’s bar sued for back rent

Developers are suing country singer Toby Keith’s namesake restaurant at Cincinnati’s riverfront.

The Cincinnati Enquirer reported that Toby Keith’s I Love This Bar and Grill is three months behind on its rent at The Banks, a new $600 million development between the Reds and Bengals stadiums along the Ohio River.

The Banks developers are suing the Southern-style sports bar for $121,000 in back rent, alleging breach of contract. The lawsuit was filed Friday in Hamilton Common Pleas Court.

A woman identifying herself as a manager at Toby Keith’s declined to comment Wednesday. A post on the restaurant’s Facebook page says it’s withholding rent because developers violated their lease.

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