Former New Jersey pharmacy owner charged in $2M fraud scheme

The former owner of New Jersey-based Empire Pharmacy has been charged in a multimillion dollar scheme to defraud health insurers, the U.S. Justice Department said

Eduard Shtindler falsified documents from 2012 to 2017 to show that Empire Pharmacy received prior authorization for expensive specialty drugs to entice physicians to choose his pharmacy over competitors, prosecutors at the U.S. Attorney's Office claim. 

Authorities say Mr. Shtindler admitted to falsifying the documents in recorded conversations. As a result of the falsified documents, Mr. Shtindler's pharmacy received about $2 million in payments from insurers that it otherwise wouldn't have received, the Justice Department said. 

Authorities also allege Mr. Shtindler bribed a psychiatrist to steer prescriptions to his pharmacy.

He faces one count of conspiracy to commit healthcare fraud and one count of conspiracy to pay illegal kickbacks. He was charged Aug. 30. 

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