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For Immediate Release:  
For Further Information:
June 5, 2006

Office of The Attorney General
- Zulima V. Farber, Attorney General
Division of Criminal Justice
- Gregory A. Paw, Director
Office of the Insurance Fraud Prosecutor
- Greta Gooden Brown, Insurance Fraud Prosecutor

 

Peter Aseltine
609-292-4791

 

Essex County Pharmacy Employees Sentenced for Medicaid Fraud
Sentence Follows Five-Week Jury Trial Conviction

TRENTON – Attorney General Zulima V. Farber and Gregory A. Paw, Director of the Division of Criminal Justice, announced that the manager of an Essex County pharmacy and a pharmacy technician have been sentenced for Medicaid fraud and related crimes.

The defendants were convicted of billing Medicaid for prescription medicines that were never dispensed and giving illegal kickbacks to Medicaid beneficiaries, particularly HIV/AIDS patients, to obtain their prescriptions. The pharmacy where they worked, Ojah Pharmacy, located at 42-44 Sussex Ave., East Orange, also was found guilty of Medicaid and health care claims fraud and faces fines, required restitution and exclusion from future participation in any federal or state health care program.

According to Insurance Fraud Prosecutor Greta Gooden Brown, former pharmacy manager Verona Boodram, 28, of Bloomfield, was sentenced by Essex County Superior Court Judge Michael L. Ravin to serve five years in state prison and pay $21,500 in restitution to the Medicaid program. Former pharmacy technician Alpha Bangoura, 31, of Orange, was sentenced by Judge Ravin to serve six and one-half years in state prison. The defendants were sentenced on their conviction on March 21, 2006 of health care claims fraud and Medicaid fraud, following a five-week jury trial.

“These defendants stole more than $40,000 from the Medicaid program,” said Criminal Justice Director Paw. “But the human cost was even more significant, because HIV/AIDS patients were being induced to sell their prescriptions for cash without receiving the medicines they needed.”

The Essex County jury found that from June 2002 through October 2004, Ojah Pharmacy, through Boodram and Bangoura, overbilled Medicaid more than $40,000 for prescription medications that were not dispensed. The jury also convicted Bangoura and Boodram on charges that they enticed Medicaid patients, specifically HIV/AIDS patients, to turn over their prescriptions without receiving their medications by offering $10 worth of store merchandise and an additional $10 to $100 in cash per prescription depending on the value of the medication.

Criminal Justice Director Paw noted that prescription fraud and the “buy back” of prescriptions from Medicaid patients is becoming more common. Pharmacies benefit from the scam by billing Medicaid the cost of expensive drugs without actually dispensing the medications, so they can, in effect, sell the same drugs more than once.

Deputy Attorney General Riza Dagli, State Investigator Melissa Calkin, State Investigator Jon Powers and Auditor Cleair Budhu were assigned to the investigation. Dagli and Deputy Attorney General Mark Ondris represented the Office of Insurance Fraud Prosecutor in court.

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