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Lawmakers Hope to Close 'Loophole' on Doc-Dispensed Compounds

By J. Todd Foster (Reporter)

Tuesday, October 3, 2017 | 799 | 0 | 0 min read

Pennsylvania lawmakers thought they had reined in physician dispensing with 2014 legislation, but stakeholders say doctors have found a loophole: buying ownership stakes in pharmacies and prescribing high-priced drugs, often pain creams, and pocketing the profits. Liberty Mutual Insurance on Sept. 14 sued 41 doctors, pharmacies and pharmacists for $4.7 million, alleging the prescribing of “fraudulent” pharmaceutical products, primarily compounded topical medications. The suit claims 18 physicians have sent workers’ compensation patients to pharmacies in which the doctors&nb...

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