CVS must repay Lynn for drug overcharges

LYNN – The CVS Pharmacy chain must pay the city more than $26,000 that it overcharged municipal employees for prescription drugs purchased under its workers’ compensation program.State Attorney General Martha Coakley said her office launched an investigation into the suspected overcharges by CVS in several Massachusetts towns and cities.The payment by CVS is part of the $2.65 million in damages the company must pay back under a settlement reached last month in Suffolk Superior Court. The total amount reflected $1.3 million in overcharges due to approximately 200 communities and a $1.35 million payment to the state.Lynn will receive a check for $26,341.By comparison, Boston will receive $60,000 in damages, while the cities of Brockton, Lowell, Fall River and Springfield will each receive in excess of $10,000. On average, municipalities will receive approximately $4,500 each.”These are tough economic times for municipalities,” said Coakley. “Recovery of monies like these can make a big difference in town budgets – and that translates into the services available to town residents. I’ll continue to work hard to recover monies for towns and cities.”Earlier this week, Coakley sent letters to municipal officials describing the case and notifying them of the payments. Checks should be received in October, said Coakley spokesman Amie Breton.