Walgreens has reached a settlement with the U.S. Justice Department, agreeing to pay as much as $350 million to resolve allegations that it unlawfully dispensed millions of invalid prescriptions for opioids and other controlled substances. The company was also accused of billing Medicare and other federal healthcare programs for many of those prescriptions, according to Fox Business.
According to the Justice Department, Walgreens will pay $300 million based on its current financial capacity. An additional $50 million could be required if the company undergoes a sale, merger, or transfer before the end of fiscal year 2032.
“Pharmacies have a legal responsibility to prescribe controlled substances in a safe and professional manner, not dispense dangerous drugs just for profit,” Attorney General Pamela Bondi stated. “This Department of Justice is committed to ending the opioid crisis and holding bad actors accountable for their failure to protect patients from addiction.”
The government’s complaint alleges that between August 2012 and March 2023, Walgreens violated the Controlled Substances Act by repeatedly filling illegitimate prescriptions. These included prescriptions that were written for unusually high quantities of opioids or were filled significantly earlier than appropriate.
Justice officials contend that Walgreens pharmacists processed these prescriptions despite red flags indicating they were likely not valid, such as lacking legitimate medical purposes or failing to meet the standards of professional medical practice.
Further accusations claim that the company placed pressure on its pharmacists to fill prescriptions rapidly, discouraging thorough verification of each prescription’s legitimacy. Additionally, compliance personnel at Walgreens allegedly overlooked clear signs that illegal prescriptions were being dispensed. The complaint also asserts that the company withheld critical internal data from its pharmacists and restricted their ability to alert colleagues about problematic prescribers.
Federal authorities described the lawsuit and settlement as part of broader efforts to combat the nationwide opioid crisis, which continues to claim tens of thousands of lives annually.
