BALTIMORE, Md. — Maryland has joined a $300 million settlement with Walgreens Boots Alliance and its subsidiaries, announced by the Justice Department, Drug Enforcement Administration (DEA), and Department of Health and Human Services Office of Inspector General (HHS-OIG), addressing allegations that the pharmacy chain illegally filled millions of invalid opioid and controlled substance prescriptions from August 2012 to March 2023. The agreement resolves violations of the Controlled Substances Act (CSA) and False Claims Act (FCA) for seeking federal health care program payments for these prescriptions, with an additional $50 million due if Walgreens is sold, merged, or transferred before fiscal year 2032. While Maryland’s exact share of the funds is not yet specified, the state’s role underscores its efforts to combat an opioid crisis that claimed 2,149 lives in 2023.
The allegations, outlined in a complaint filed in January and amended in April in the Northern District of Illinois, claim Walgreens knowingly dispensed prescriptions lacking legitimate medical purpose, including excessive opioid quantities, early refills, and dangerous “trinity” drug combinations. Pharmacists, under pressure to fill prescriptions quickly, allegedly ignored red flags, while compliance officials withheld critical prescriber data, as detailed in the Justice Department’s press release. In Maryland, where Walgreens operates over 150 stores, these practices fueled an epidemic that saw a 7.6% rise in overdose deaths from 2021 to 2023, according to Maryland’s opioid dashboard.
“With the power to dispense potentially harmful substances comes the responsibility to ensure that every prescription is legitimate before it is filled,” said U.S. Attorney Kelly O. Hayes for the District of Maryland. “When pharmacies fail that responsibility, this office will work with others across the country to hold accountable those who put patients and communities at risk.”
Maryland’s involvement builds on its history of opioid litigation. In February 2024, Attorney General Anthony G. Brown secured $74.8 million from Walgreens as part of a $238 million settlement with pharmacies and drugmakers for failing to monitor prescriptions, as reported by The Baltimore Sun’s coverage. Baltimore City also won an $80 million settlement with Walgreens in September 2024 to fund local opioid remediation efforts. The $300 million federal settlement, a national resolution, likely allocates funds to Maryland based on its opioid burden, though specific amounts are pending.
“Pharmacies have a legal responsibility to prescribe controlled substances in a safe and professional manner, not dispense dangerous drugs just for profit,” said Attorney General Pamela Bondi. “This Department of Justice is committed to ending the opioid crisis and holding bad actors accountable for their failure to protect patients from addiction.”
The settlement includes a seven-year DEA agreement requiring Walgreens to verify prescriptions, train staff, ensure adequate staffing, and block problematic prescribers. A five-year HHS-OIG Corporate Integrity Agreement mandates a compliance program, critical for Maryland’s 1,200+ pharmacies, as noted in the Maryland Board of Pharmacy’s data. “This settlement holds Walgreens accountable for failing to comply with its critical responsibility to prevent the diversion of opioids and other controlled substances,” said U.S. Attorney John J. Durham for the Eastern District of New York.
Resolving four whistleblower FCA cases, the settlement awards relators 17.25% of the FCA recovery. Nationally, the opioid crisis caused over 70,000 deaths in 2023, per CDC statistics, with Maryland’s per capita rate among the highest. Tips on health care fraud can be reported to HHS-OIG at 800-447-8477.
