With the new tariff regulations coming into play, U.S. consumers should be on guard for price increases in respect of goods that are shipped directly from China.
Some companies may absorb some of those costs or switch to supply chains, but at least for now, all online bargains have just gotten more so-or less-so expensive.
The prescriptions-locked up for abuse risk
Authorities cited Walgreens’ involvement in filling excessive amounts of high-risk prescriptions. These included some of the most troubling, with combinations called “the trinity”-a blend of opiates, benzodiazepines, and muscle relaxant. This trio of drugs has very high abuse potential, are very addictive, and very likely to cause overdose-a prescription for personal disaster.
In addition, the complaint stated that Walgreens queried payments for those prescriptions from federal health programs such as Medicare. This would amount to violations of both the Controlled Substances Act and the False Claims Act.
Company denies wrongdoing
Walgreens did not admit to any wrongdoing in connection with the settlement with the United States for $300 million. “We strongly disagree with the government’s legal theory and do not admit any liability. Our pharmacists are dedicated healthcare professionals who play a critical role in educating and protecting patients from opioid misuse,” a Walgreens spokesperson said in a statement to CBS MoneyWatch.
Avoiding steeper penalties
In regard to penalties, Walgreens could have faced at a minimum $80,850 for each prescription found to be unlawfully dispensed by a jury. Given that it has more than 8,000 stores across the country, this could have culminated in billions worth of fines. Under the settlement, the government will dismiss its lawsuit, and Walgreens will abandon a separate claim brought in Texas seeking a judicial declaration.
Broader efforts against corporate misconduct
The case forms part of a wider campaign by federal authorities against corporations that contributed to the opioid epidemic. Other companies within the pharmaceutical supply chain have been subjected to lawsuits, fines, and settlements in recent years.
