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Pharr Pharmacist Guilty In $110 Million Dollar Kickback Conspiracy

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During the time of the conspiracy, from 2014 to 2016, Rodriguez’s pharmacy billed more than $110 million to various federal health care benefit programs for compound drugs. Image for illustration purposes
During the time of the conspiracy, from 2014 to 2016, Rodriguez’s pharmacy billed more than $110 million to various federal health care benefit programs for compound drugs. Image for illustration purposes
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U.S. Attorney’s Office, Southern District of Texas

McALLEN, Texas – A 55-year-old McAllen man has pleaded guilty to conspiring to pay kickbacks in exchange for prescription referrals, announced U.S. Attorney Alamdar S. Hamdani.

John Ageudo Rodriguez, a licensed pharmacist, owned and operated a pharmacy in Pharr called Pharr Family Pharmacy.

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Rodriguez admitted he paid kickbacks in excess of $24 million to various marketers. The marketers had relationships with physicians and clinics and could cause prescriptions for expensive compound drugs to be referred to Rodriguez’s pharmacy.

During the time of the conspiracy, from 2014 to 2016, Rodriguez’s pharmacy billed more than $110 million to various federal health care benefit programs for compound drugs.

Rodriguez’s guilty plea follows guilty pleas of numerous other marketers involved in the prescription drug kickback scheme.

Chief U.S. District Judge Randy Crane accepted the plea and set sentencing for March 25. At that time, Rodriguez faces up to five in federal prison as well as a possible  $250,000 maximum fine.  

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Rodriguez was permitted to remain on bond pending that hearing.

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 conducted the investigation. Assistant U.S. Attorney Andrew Swartz is prosecuting the case.

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