New Jersey pharmacy employee charged with $1.9M kickback scheme

A New Jersey pharmacy employee was arrested Feb. 24 after authorities said he steered prescriptions to his pharmacy by having his coworkers give bribes to a physician in cash, checks and gift cards, according to the U.S. Department of Justice.

Srinivasa Raju was charged with conspiring to violate the federal Anti-Kickback Statute.

The alleged $1.9 million kickback scheme had been going on since at least January 2019, according to the Justice Department. Court documents said Mr. Raju first handed gift card bribes to fellow pharmacy employees to deliver to a physician, but soon switched to cash and checks.

Mr. Raju faces a maximum of five years in prison. He also faces a fine of $250,000 or twice the gross gain or loss derived from the alleged scheme, whichever is greater.

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