Connect with us
DAPA Banner
DAPA Coin
DAPA
COIN PAYMENT ASSET
PRIVACY · BLOCKDAG · HOMOMORPHIC ENCRYPTION · RUST
ElGamal Encrypted MINE DAPA
🚫 GENESIS SOLD OUT
DAPAPAY COMING

Business

Hospitals accuse CVS of siphoning hundreds of millions in drug savings

Published

on

Hospitals accuse CVS of siphoning hundreds of millions in drug savings

Three major hospital systems on Monday filed lawsuits accusing CVS Health and its subsidiaries of running a secret scheme that allegedly siphoned hundreds of millions of dollars away from hospitals serving vulnerable and uninsured patients.

The lawsuits – filed by Mount Sinai in New York, University of Michigan Health and Sparrow Hospital, and the University of Kansas Hospital Authority – claim CVS manipulated reimbursements tied to the federal 340B Drug Pricing Program and kept the difference as profit, according to complaints obtained by FOX Business.

Advertisement

The hospitals allege insurers and patients paid full price for specialty drugs, but CVS later reduced payments to hospitals through affiliated companies, including CaremarkPCS, CVS Specialty, Caremark LLC and WellPartner.

The lawsuits estimate massive financial losses. Mount Sinai claims more than $121 million in losses since 2020. University of Michigan and Sparrow allege more than $66 million in losses. University of Kansas Hospital Authority alleges nearly $62 million in losses.

CVS, WALGREENS PULL BACK COVID VACCINES IN MORE THAN A DOZEN STATES FOLLOWING NEW GUIDELINES

A CVS pharmacy store

The lawsuits claim CVS manipulated reimbursements tied to the federal 340B Drug Pricing Program and kept the difference as profit. (Zak Bennett/Bloomberg via Getty Images)

At the center of the cases is the federal 340B Drug Pricing Program, which allows qualifying hospitals to buy expensive medications at discounted prices and use the savings to help fund community health services.

Advertisement

“Hospitals use 340B savings to provide, for example, free care for uninsured patients, offer free vaccines, provide services in mental health clinics, and implement medication management and community health programs,” the American Hospital Association states on its website.

A spokesperson for CVS told FOX Business in an email: “We do not comment on matters that are subject to ongoing litigation and remain focused on serving our customers and executing our business priorities.”

The University of Michigan complaint claims CVS and its subsidiaries “diverted (and continue to divert) 340B revenue for themselves by implementing a secret pricing scheme for 340B drugs, which required cooperation among its affiliated entities within the 340B drug supply chain.”

“CaremarkPCS charged the plan/payor the original higher amount, and the 340B eligible patient the original higher copay just so that defendants retain 340B profits,” the Mount Sinai complaint alleges.

Advertisement

CVS CAREMARK ORDERED TO PAY $290M AFTER MEDICARE FRAUD SCHEME EXPOSED BY FORMER AETNA WHISTLEBLOWER

The complaints point to examples involving high-cost specialty drugs, including Stelara, which is used to treat chronic inflammatory conditions like plaque psoriasis, according to Stelara’s website.

The Michigan lawsuit cites one example in which a Stelara prescription allegedly generated more than $24,000 for the University of Michigan’s specialty pharmacy, but only about $18,000 when processed through CVS Specialty — a difference of more than $6,500.

Ticker Security Last Change Change %
CVS CVS HEALTH CORP. 93.28 -0.90 -0.96%

“The $6,523.18 reflects the ‘spread’ artificially created and pocketed by the defendants as pure profit,” the complaint alleges.

Advertisement

The lawsuits also accuse CVS of refusing audit requests and terminating some pharmacy agreements after hospitals raised concerns.

“Defendants refused to permit an audit and terminated plaintiff from the 340B Contract Pharmacy Arrangement, in retaliation for uncovering the fraudulent scheme described herein and seeking to fulfill their obligations under the 340B Program and HRSA regulations,” the Kansas complaint alleges.

ANTI-THEFT MEASURES AT CVS ARE ‘WORSE FOR BUSINESS THAN ORGANIZED SHOPLIFTING,’ COLUMNIST ARGUES

Sparrow Hospital in Lansing, Michigan

Sparrow Hospital in Lansing, Michigan, is part of the University of Michigan Health system. (Google Maps)

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Advertisement

The hospitals are seeking damages, repayment of alleged profits, court orders requiring CVS to turn over records and for the business to stop the alleged practices.

Last year, a federal judge ordered CVS Health’s Caremark to pay nearly $290 million after a whistleblower accused the company of overcharging Medicare on prescription drugs.

A spokesperson for University of Michigan Medicine told FOX Business: “Because this involves pending litigation, I have no information to share.”

FOX Business reached out to Mount Sinai and the University of Kansas Hospital Authority for comment.

Advertisement

FOX Business’ Alexandra Koch contributed to this report.

Continue Reading
Click to comment

You must be logged in to post a comment Login

Leave a Reply

Business

Progyny, Inc. (PGNY) Shareholder/Analyst Call Transcript

Published

on

OneWater Marine Inc. (ONEW) Q1 2026 Earnings Call Transcript

Peter Anevski
CEO & Director

Good afternoon. I’m Pete Anevski, Chief Executive Officer of Progyny and a member of the Board of Directors. I’m very happy to welcome you to the Progyny 2026 Annual Stockholders Meeting.

Before I call the meeting to order, I’d like to welcome our Board members in attendance and introduce the business team members who are with us today. The other officers of Progyny in attendance are David Schlanger, Executive Chairman; Mark Livingston, Chief Financial Officer; and Allison Swartz, General Counsel, who will also be acting as Secretary for today’s meeting.

I’d also like to introduce John Valla of Ernst & Young LLP, Progyny’s independent auditors, who is available to respond to appropriate questions. We thank all of you for joining us today.

Advertisement

The meeting will now officially come to order. We will proceed with the formal business of the meeting as set forth in your notice of annual meeting and proxy statement. After the formal part of the meeting, we will give you an opportunity to ask questions you may have.

We’ll begin the meeting with a brief update on the business. As a reminder, remarks made today and in response to any questions may include forward-looking statements. Forward-looking statements involve risks, uncertainties and other important factors that are described in our SEC filings, including our first quarter Form 10-Q, and our actual results may differ materially from such statements. Any forward-looking statements that we make during the meeting are based on our beliefs and assumptions today, and we have no obligation to update them.

In

Advertisement
Continue Reading

Business

Vista Group International Limited (VGLIF) Shareholder/Analyst Call Transcript

Published

on

OneWater Marine Inc. (ONEW) Q1 2026 Earnings Call Transcript

Susan Peterson

Good afternoon. My name is Susan Peterson, and I’m the Chair of the Board of Directors of Vista Group International Limited. And on behalf of the Board and our senior leadership team, it’s my pleasure to welcome you to our Annual Shareholders’ Meeting for 2026. Thank you to our share registrar, MUFG Pension and Market Services for hosting us at their offices and for providing the virtual meeting platforms for those joining online. The virtual meeting platform enables you to vote and ask questions, and we encourage your participation.

I’ll provide you with further instructions as we progress through the meeting. And if you encounter any issues, please refer to the virtual meeting guide or you can phone the help line on 0800 200-220 that’s 0800-200-220.

Now before we begin the business of this meeting, it’s my great pleasure to introduce my fellow directors. In no particular order, we have James Miller, who chairs our Audit and Risk Committee and sits on our Nomination and Remuneration Committee. We have Cris Nicolli, who chairs our Nomination and Remuneration Committee and also sits on our Audit and Risk Committee. We have Claudia Batten, who sits on both our Audit and Risk Committee and Nomination and Remuneration Committee. And we have Murray Holdaway, the Co-Founder of Vista Group, who is unable to join us today as he’s overseas. He’s asked me to pass on his apologies to you.

Advertisement

Now our CEO, Stuart Dickinson, is present with a number of our senior leadership team and our auditors, represented by [ John O’Cooby ] from PwC, are also with us today. Now Kelvin Preston, our

Continue Reading

Business

Walmart, Ollie’s sold recalled Orb squeeze toys tied to asbestos risk

Published

on

Walmart, Ollie’s sold recalled Orb squeeze toys tied to asbestos risk

More than 120,000 Orb Funkee squeeze toys have been recalled after it was discovered that the sand filling inside the toys may contain fibrous tremolite, a form of asbestos. 

Imported by the Canadian company The Orb Factory Limited, the toys were sold nationwide at major retailers, including Walmart and Ollie’s Bargain Outlet, according to an alert from the U.S. Consumer Product Safety Commission.

Advertisement

If the sand inside the toy is inhaled, it can cause adverse and potentially serious health issues.

POPULAR COSTCO KITCHEN GADGET RECALLED AFTER FIRE HAZARD LEAVES PERSON BURNED

Orb toy recalled

The recalled Orb Funkee squeeze toys may contain fibrous tremolite (asbestos) in the sand, which can cause adverse health issues if inhaled. (U.S. Consumer Product Safety Commission)

No injuries or incidents have been reported to date.

Ticker Security Last Change Change %
WMT WALMART INC. 121.34 -9.51 -7.27%
OLLI OLLIE’S BARGAIN OUTLET HOLDINGS INC. 83.07 +0.82 +1.00%

The toys retailed for between $5 and $40 and were on shelves from February 2025 through April 2026.

Advertisement

Roughly 121,340 units are affected by the recall.

COSTCO RECALLS POPULAR PRODUCT IN 2 STATES OVER POTENTIAL INGREDIENT MIX-UP

Orb toy recalled

Certain Orb Funkee Squeeze Toys were recalled due to asbestos concerns. (U.S. Consumer Product Safety Commission)

Since the recall targets two specific models of soft, stretchable toys, consumers should check for the date code 3102491A, which is printed on the hand of the large golden monkey or on the back of the smaller versions.

Those who own the toys are urged to immediately take them away from children and stop using them. 

Advertisement

The Orb Factory is offering refunds for the defective products.

CHECK YOUR FREEZER: ORGANIC ICE CREAM RECALLED IN 17 STATES OVER POSSIBLE METAL FRAGMENTS

Orb toy recalled

Officials said the toys were sold at Walmart and Ollie’s Bargain Outlet stores nationwide from February 2025 through April 2026. (U.S. Consumer Product Safety Commission)

To claim a refund, customers must place the toy in a heavy-duty plastic bag, seal it securely with tape and email a photo of the bagged product to customerservice@orbtoys.com.

If the toy has ruptured and sand has leaked out, the company said consumers should wear a mask and gloves, and clean up the escaped sand with a damp cloth before placing the toy, cloth, mask and gloves into a heavy-duty plastic bag. 

Advertisement

The bag must then be double-bagged, sealed with tape and disposed of according to local or state regulations.

GET FOX BUSINESS ON THE GO BY CLICKING HERE

Anyone with questions can contact The Orb Factory directly at 800-741-0089 or via the recall information section on their website.

The Orb Factory Limited, Walmart and Ollie’s Bargain Outlet did not immediately respond to FOX Business’ requests for comment.

Advertisement
Continue Reading

Business

John Ramsey Urges Guthrie Family to Scrutinize Probe

Published

on

Nancy Guthrie

TUCSON, Ariz. — John Ramsey urged Savannah Guthrie’s family to closely monitor the investigation into the disappearance of Nancy Guthrie as the case reached 109 days without a confirmed suspect, public records and media interviews show.

The 84-year-old was last seen Jan. 31 and reported missing Feb. 1, and local, state and federal authorities have since collected thousands of hours of surveillance footage, submitted unidentified DNA for analysis and continued to process tips, according to statements from investigators and reporting from news organizations.

Ramsey, whose daughter JonBenét Ramsey was murdered in 1996 in a case that remains unsolved, spoke publicly about the Guthrie investigation during an interview with journalist Brian Entin and urged relatives to ask detailed questions about forensic testing and investigative progress. In the interview, Ramsey said families should not assume investigators have exhausted every lead and encouraged them to press for information about DNA testing and genetic genealogy, according to published excerpts of the interview.

Officials with the Pima County Sheriff’s Department and law enforcement partners have confirmed that the investigation remains active and ongoing, with no suspects named and no arrests announced. Investigators briefed the public at intervals after Nancy Guthrie’s disappearance and said they have received assistance from federal agencies, collected thousands of videos from traffic and residential cameras, and submitted DNA samples to state and federal laboratories for comparison and advanced analysis.

Advertisement

Public interest in the case has been intense since the disappearance was reported, and online speculation has at times targeted the Guthrie family despite law enforcement statements that immediate family members were cleared early in the inquiry. Authorities have not publicly identified a suspect or charged anyone in the case, and Pima County officials have repeatedly urged the public to submit tips and to avoid spreading unverified claims.

Investigators have described a wide-ranging evidence collection effort. Authorities said they have analyzed video from intersections and doorbell cameras near the Catalina Foothills-area home where Nancy Guthrie lived, reviewed cellphone and digital records, and followed up on leads generated by public tips. Law enforcement also said in public briefings that a masked individual initially flagged by investigators was later determined to be unrelated to the case.

Genetic genealogy has been used in the investigation, law enforcement sources and media reports indicate. Officials acknowledged that unidentified DNA is under analysis and that results from advanced testing and genealogical comparisons can take time as samples are reviewed and matched through investigative techniques that often involve multiple laboratories and databases. Federal guidance and public reports note that genetic genealogy has helped solve hundreds of cold cases in recent years, but officials have cautioned that not every sample yields usable genealogical leads.

The timeline released by authorities shows that the investigation accelerated in the days after Nancy Guthrie was reported missing and has continued through subsequent months. In early February, search teams and police canvassed the neighborhood, gathered surveillance footage and interviewed witnesses. By mid-February, authorities reported signs that suggested possible abduction and enlisted federal support, according to law enforcement statements. In March, investigators broadened forensic testing, including genetic genealogy work, and in April and May the probe expanded to analyze thousands of hours of video and additional digital records.

Advertisement

Family members and supporters have publicly appealed for information while also asking for privacy as investigators work through leads. Savannah Guthrie and her family have not provided frequent public updates beyond occasional social media posts and statements asking for assistance in locating Nancy Guthrie. Savannah Guthrie’s husband posted a tribute on Mother’s Day and thanked those who have shared tips and shown support.

Public pressure on the Pima County Sheriff’s Department increased as the 109-day mark approached. Social media users and some local commentators questioned the pace of public updates, noting that routine department posts sometimes focused on traffic incidents and unrelated arrests rather than investigative developments in the Guthrie case. Pima County officials have said they will release information as it becomes verified and have urged the public to rely on official channels for accurate updates.

Investigators have described the case as complex. Law enforcement sources said the area’s dense web of traffic cameras and residential doorbell systems has produced a large volume of footage that requires time-consuming review. Officials said they are cross-referencing timestamps and synchronizing multiple camera angles to reconstruct movements near the Guthrie residence and surrounding streets. Those efforts, law enforcement officials told reporters, are part of a methodical investigative process intended to ensure that leads are followed and evidence is properly documented.

Criminal justice experts who have commented in media coverage note that high-profile cases often attract intense public scrutiny and that families affected by such cases may seek outside advice or advocacy. John Ramsey’s comments — drawing on his experience with an unsolved, high-profile case — were framed by him as guidance for families navigating long, uncertain investigations. Ramsey said that questioning investigators and seeking clarity about testing and evidence is a way for families to remain informed, according to published interview excerpts.

Advertisement

Law enforcement officials continue to appeal for the public’s help. Authorities have asked anyone with information, no matter how small it may appear, to contact investigators through established tip lines. Investigators said leads continue to be evaluated and that the priority remains locating Nancy Guthrie and determining the circumstances surrounding her disappearance.

As the investigation marks more than three months, forensic work continues. Officials confirmed to reporters that unidentified DNA from the scene and other samples remain under analysis in state and federal labs, a process that can include multiple rounds of testing, comparison against national databases and the application of investigative genetic genealogy where appropriate. Agencies involved in the probe emphasized that forensic timelines can vary widely depending on sample quality and the complexity of the comparisons.

Authorities also emphasized that open, accurate public communication is essential and that investigators will release information when it is verified and legally appropriate. Law enforcement officials reiterated that speculation and the spread of unconfirmed theories can hinder investigative efforts and complicate the work of locating missing persons.

The Guthrie disappearance has prompted renewed discussion in media and among advocacy groups about how missing-person investigations are conducted and how families are briefed. Some commentators highlighted the role of advanced forensic methods, including genetic genealogy, in providing new investigative avenues, while others stressed the need for careful handling of sensitive evidence and respect for privacy as inquiries progress.

Advertisement

For now, the investigation continues without a named suspect, and law enforcement agencies say they are pursuing all credible leads. John Ramsey’s public remarks have amplified calls for transparency and for families to take an active role in seeking updates, but authorities cautioned that the investigative process requires time to ensure accuracy. The Pima County Sheriff’s Department and partner agencies maintain that their work is ongoing and that tips from the public remain a critical component of the probe.

Anyone with information related to Nancy Guthrie’s disappearance is urged to contact the Pima County Sheriff’s Department tip line or the FBI’s Phoenix Division. Authorities say even seemingly minor details can assist investigators as they continue to review forensic results and thousands of hours of video evidence.

Continue Reading

Business

Prodalim acquires food technology company Better Juice

Published

on

Prodalim acquires food technology company Better Juice

Better Juice is a food-tech company specializing in sugar reduction solutions.  

Continue Reading

Business

Pope Leo to visit Uruguay in November, part of regional tour

Published

on

Pope Leo to visit Uruguay in November, part of regional tour


Pope Leo to visit Uruguay in November, part of regional tour

Continue Reading

Business

Why The AvalonBay Communities-Equity Residential Deal Deserves A Second Look

Published

on

Why The AvalonBay Communities-Equity Residential Deal Deserves A Second Look

Why The AvalonBay Communities-Equity Residential Deal Deserves A Second Look

Continue Reading

Business

Quadient S.A. (NPACY) Q1 2027 Earnings Call Transcript

Published

on

OneWater Marine Inc. (ONEW) Q1 2026 Earnings Call Transcript

Laura Paxton

Good evening, everyone, and welcome to Quadient’s First Quarter 2026 Revenue Call. I’m Laura Paxton, Head of Investor Relations at Quadient, and I’m here today with Geoffrey Godet, CEO; and Laurent Du Passage, CFO.

We will have a short presentation followed by Q&A, and then you can submit your questions in writing through the web or ask questions live by dialing into the conference call. The presentation and press release are now available on our website at invest.quadient.com, and a replay of the call will also be available on our website.

Thank you very much for joining us this evening. I will now hand over to you, Geoffrey.

Advertisement

Geoffrey Godet
CEO & Director

Thank you, Laura, and welcome, Laurent. Good evening, everyone. Starting on Slide 5. So let me start with a brief reminder of some of the key dynamics shaping our performance as we entered 2026.

As you remember, as I have outlined during our full year results, we continue to operate in an environment that has been driven by key structural trends, right? So first one is the acceleration of digitalization, supported in particular by AI and invoicing mandates.

Advertisement

And the second one is the ongoing structural evolution of the Mail market. Alongside our full year result in 2025, we also announced a major organization of the Executive Committee with a very clear intention, align the leadership with our operational priorities and most importantly, put our digital automation platform at the center of the company with the clear goals to accelerate both growth and innovation.

Now this has already enabled a sharper and more coordinated go-to-market

Advertisement
Continue Reading

Business

SK Capital Partners takes hold of Brothers International

Published

on

SK Capital Partners takes hold of Brothers International

Acquires fruit ingredients, products supplier from Benford Capital Partners.  

Continue Reading

Business

Trump changes EPA refrigeration rules in grocery price push

Published

on

Trump changes EPA refrigeration rules in grocery price push

President Donald Trump speaks during an announcement with Environmental Protection Agency Administrator Lee Zeldin (not pictured) in the Oval Office at the White House, in Washington, May 21, 2026.

Kevin Lamarque | Reuters

President Donald Trump on Thursday announced a delay of two Biden-era EPA refrigerant rules, arguing the move will cut costs for companies and save consumers money at the grocery store.

Advertisement

The administration estimated that American businesses and families will save more than $2.4 billion under the new rules.

“Our actions allow businesses to choose the refrigeration systems that work best for them, saving them billions of dollars,” EPA Administrator Lee Zeldin said in a statement.

“This will be felt directly by American families in lower grocery prices,” he said.

But it was unclear Thursday whether or how companies such as grocers would use those savings to make it more affordable for shoppers to fill their carts. The changes would not require grocers to take any steps to cut prices, at a time when many households see their budgets stretched by soaring gas prices and years of elevated inflation.

Advertisement

The rules target hydrofluorocarbons, or HFCs, potent greenhouse gases commonly used in refrigeration and air conditioning systems that are widely accepted as contributors to global warming. Under the Biden administration, the EPA in 2023 finalized regulations aimed at cutting leaks and emissions from those systems, affecting industries ranging from grocery stores and food distribution to semiconductor manufacturing.

Now, the EPA is delaying compliance by revising the 2023 rule and another regulation from 2024.

The administration’s messaging appears aimed squarely at inflation-weary consumers, especially as food prices remain politically sensitive ahead of the midterm elections this fall. Grocery retailers rely heavily on refrigeration infrastructure, and compliance with the EPA rules would have required upgrades, leak detection systems and new refrigerants in some cases.

At the time the rules were put in place, the EPA argued they would save businesses and consumers $4.5 billion over time through energy efficiency and lower-cost refrigerants. Grocery and food industry groups warned the transition could cost the industry billions in upfront equipment and compliance expenses.

Advertisement

Large chains such as Walmart, Kroger and Costco have already been investing in “natural refrigerant” systems for years, so the biggest operators were generally better positioned to absorb the transition. Smaller regional grocers and independent stores may have felt the cost burden more acutely.

“An orderly transition of equipment reduces both capital costs and operating costs, and at the end of the day that’s good for consumers because we’re able to take that and put that into lowering prices,” Kroger CEO Greg Foran said at an event at the White House.

Still, it remains unclear whether grocers would pass on cost savings to consumers. When asked at the signing, Foran said the company is “right in the middle” of passing savings on to the consumer and making sure they’re “paying the right price.”

Earlier Thursday before Trump’s policy announcement, Bloomberg News reported that Foran planned price cuts at Kroger to allow the grocer to better compete with Walmart and Costco.

Advertisement

Food inflation is driven by a wide range of factors, including labor, transportation, feed costs and commodity prices, and some of those expenses have risen in recent months due to the Iran war. Refrigeration compliance costs represent a small slice of overall grocery operating expenses.

Choose CNBC as your preferred source on Google and never miss a moment from the most trusted name in business news.
Continue Reading

Trending

Copyright © 2025