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NEWS from the Office of the New York State Comptroller
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DiNapoli: Former Pharmacist Pleads Guilty In $232,000 Fake Prescriptions Scam

December 10, 2015

A former Long Island pharmacist admitted today he faked prescriptions to steal $232,000 in a fraud that was uncovered in two audits by State Comptroller Thomas P. DiNapoli’s office.

William Davis, 63, the former owner of Davis Ethical Pharmacy in Rockville Centre, pleaded guilty to grand larceny in the second degree in Nassau County District Court for sending phony prescription records for reimbursement to Medicaid and the New York State Health Insurance Program (NYSHIP) from 2008 through 2011.

Davis, who currently resides in Lake Ariel, Pennsylvania, agreed to make full restitution of $231,919 on or before his sentencing on January 27.

“Mr. Davis thought he could steal from taxpayers,” DiNapoli said. “Through our audits and investigation and our partnership with Nassau County District Attorney-Elect Madeline Singas’ office and the Department of Financial Services, we were able to expose his crimes, hold him accountable and return the $232,000 to the public.”

“The defendant bilked taxpayers out of more than $230,000 by submitting fraudulent billing claims over a four year period,” Nassau County District Attorney-Elect Madeline Singas said. “Working with our partners in State Comptroller Thomas DiNapoli’s office and the State Department of Financial Services, we helped unravel the defendant’s scheme and now the taxpayers of New York will get their money back.”

The improper payments were exposed when the Comptroller examined around $7 million in claims paid to Davis. NYSHIP provides health insurance to some state and local government and school district employees and their families. The state Medicaid Program provides prescription drug coverage for enrollees.

To read the two audit reports, visit: http://www.osc.state.ny.us/audits/allaudits/093013/12s11.pdf and http://www.osc.state.ny.us/audits/allaudits/093013/12s10.pdf

Since taking office in 2007, DiNapoli has committed to fighting public corruption and encourages the public to help fight fraud and abuse. New Yorkers can report allegations of fraud involving taxpayer money by calling the toll-free Fraud Hotline at 1-888-672-4555, by filing a complaint online at [email protected], or by mailing a complaint to: Office of the State Comptroller, Division of Investigations, 14th Floor, 110 State St., Albany, NY 12236. Review prior cases at http://www.osc.state.ny.us/investigations/index.htm.

 

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