JACKSONVILLE, Fla. – Walgreens has agreed to pay up to $350 million to resolve allegations that it illegally filled millions of opioid prescriptions and submitted false claims to federal healthcare programs, according to the U.S. Department of Justice.
The settlement includes a $300 million payment based on Walgreens’ ability to pay, with an additional $50 million due if the company is sold or merged before fiscal year 2032.
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Federal authorities allege that between August 2012 and March 2023, Walgreens pharmacies repeatedly filled prescriptions for controlled substances, including opioids, despite “clear red flags” that the prescriptions were unlawful.
These red flags included excessive quantities, early refills, and the dangerous drug combination known as the “trinity.”
According to the complaint, Walgreens pharmacists faced pressure to fill prescriptions quickly.
Meanwhile, corporate officials allegedly ignored warning signs and even withheld critical information about problematic prescribers from pharmacy staff.
“Pharmacies have a legal responsibility to prescribe controlled substances in a safe and professional manner, not dispense dangerous drugs just for profit,” said Attorney General Pam Bondi.
The case, brought under the False Claims Act, also resolves four whistleblower lawsuits filed by former Walgreens employees. The whistleblowers will collectively receive 17.25% of the government’s recovery.
“This settlement resolves allegations that, for years, Walgreens failed to meet its obligations when dispensing dangerous opioids and other drugs,” said Deputy Assistant Attorney General Michael Granston.
In addition to the financial penalty, Walgreens has entered into a seven-year agreement with the DEA and a five-year Corporate Integrity Agreement with the Department of Health and Human Services.
These agreements require the company to strengthen internal controls, train staff, and monitor prescriber activity to prevent future violations.
While Walgreens has not admitted liability, the settlement reflects a commitment to holding corporations accountable amid the ongoing opioid crisis, according to the DOJ.