Omnicare wins judgment in $300 million fraud case

A former employee of the nation's largest long-term care pharmacy doesn't have enough evidence to substantiate fraud allegations against the company, according to a recent court ruling.

The U.S. District Court for the Southern District of Texas ruled on Sept. 3 that Susan Ruscher, a former collection agent for Omnicare, failed to produce sufficient evidence of whether Omnicare deliberately set out to defraud the government when it forgave debts owed by eight LTC facilities.

Ruscher alleged Omnicare defrauded the government of Medicare and Medicaid funds by not collecting $300 million owed by the facilities, in order to keep its contacts with them. Ruscher previously told a judge that Omnicare instructed its employees to file false reports that bill collection efforts had been made.