Pharmacist pleads guilty in $110 million prescription referral kickback scheme

Webp 8v1b5b39j6aogjeodwxm345qs42v

Pharmacist pleads guilty in $110 million prescription referral kickback scheme

Alamdar Hamdani U.S. Attorney | U.S. Attorney for the Southern District of Texas

A pharmacist from McAllen, Texas, has admitted guilt in a conspiracy involving kickbacks for prescription referrals. John Ageudo Rodriguez, aged 55, operated Pharr Family Pharmacy in Pharr and acknowledged paying over $24 million in kickbacks to marketers who could influence physicians and clinics to refer prescriptions for costly compound drugs to his pharmacy.

Between 2014 and 2016, Rodriguez's pharmacy billed more than $110 million to federal health care benefit programs for these drugs. This plea comes after several marketers involved in the scheme also pleaded guilty.

Chief U.S. District Judge Randy Crane accepted Rodriguez's plea and scheduled sentencing for March 25. Rodriguez faces up to five years in federal prison and a potential fine of $250,000. He remains on bond until the sentencing hearing.

The investigation was conducted by multiple agencies including the U.S. Postal Service – Office of Inspector General (OIG), Department of Labor – OIG, FBI, Department of Defense – Defense Criminal Investigative Service, Department of Veteran Affairs – OIG, Department of Health and Human Services - OIG, and Texas Health and Human Services - OIG. Assistant U.S. Attorney Andrew Swartz is handling the prosecution.