Allstate Sues String of Pharmacies Over Alleged Insurance Fraud

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“As part of the scheme to defraud alleged herein, the pharmacy defendants entered into illegal kickback arrangements with no-fault clinics in the New York metropolitan area and unlicensed laypersons who work at or are associated with the no-fault clinics pursuant to which the no-fault clinics prescribed expensive, pre-formulated topical pain creams, gels, lotions and ointments dispensed and billed at exorbitant prices by [the pharmacies],” the complaint said.

       
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