Attorney General's News Release

September 25, 2002

Kansas City pharmacist pleads guilty to 22 counts of Medicaid fraud

Kansas City, Mo. — A Kansas City pharmacist pleaded guilty today to 22 counts of Medicaid fraud in connection with his falsely billing the Missouri Medicaid program more than $29,000 for drugs that were neither prescribed nor dispensed. A Jackson County grand jury indicted Louie A. Ferro Jr. (DOB - 4/5/52) on the charges in April 2001 at the request of Attorney General Jay Nixon and the Jackson County Prosecuting Attorney.

The indictment charged that Ferro provided false statements to the Medicaid program between May 2000 and February 2001 in order to receive payments. Ferro owned and operated Penn Park Pharmacy, 2929 Baltimore Ave.

An investigation by the Attorney General's Medicaid Fraud Control Unit, in cooperation with the Kansas City Police Department and the Prosecuting Attorney, determined that Ferro used the Medicaid numbers of six Medicaid recipients to illegally bill for the drugs Diflucan, Zyprexa, Risperdal and Lorabid.

Ferro entered his guilty plea before Circuit Judge Charles E. Atwell. Judge Atwell has scheduled sentencing for Dec. 6. Ferro faces a maximum sentence of five years in prison and a $5,000 fine on each count.

Nixon established the Medicaid Fraud Control Unit within the Attorney General's Office in 1994 to investigate fraudulent and unscrupulous activities that cost Missouri taxpayers millions each year. The unit also has authority under state law to prosecute, both civilly and criminally, allegations of fraud against Missouri's Medicaid program.

Inquiries from consumers should be directed to consumer@ago.mo.gov or 1-800-392-8222 (from within Missouri) or 573-751-3321 (outside Missouri).

All media inquiries should be directed to Press Secretary John Fougere.

E-mail      Phone: 573-751-8844         Fax: 573-751-5818