El Paso doctor pays $200,000 to settle drug, fraud allegations

EL PASO, Texas (KVIA) -- An El Paso doctor has agreed to pay $200,000 to resolve allegations that he violated the Controlled Substances Act, the False Claims Act, and the Texas Health Care Program Fraud Prevention Act. That is according to federal prosecutors.
"The allegations involved the issuance of 255 controlled substance prescriptions to 15 individuals between Dec. 23, 2017, and May 22, 2021," the federal prosecutors explained.
Federal prosecutors say the prescriptions were for Schedule II controlled substances including morphine, fentanyl, hydrocodone-acetaminophen, hydrocodone, hydromorphone, hydromorphone extended release, oxycodone hydrochloride extended release, tapentadol, oxymorphone; and the Schedule IV controlled substances carisoprodol, zolpidem, clonazepam, alprazolam, and tramadol.
"The United States alleged Dr. August issued individual and concurrent prescriptions for these controlled substances to 15 individuals without complying with the minimum requirements imposed on Texas physicians in treating patients for pain or chronic pain conditions; documenting a legitimate medical purpose; demonstrating medical necessity for such prescriptions; and demonstrating the prescriptions were issued in the usual course of professional practice," federal prosecutors said.
August is also accused of violating the False Claims Act and the Texas Health Care Fraud Prevention Act because the 15 patients were beneficiaries of the Medicare Part D and/or Texas Medicaid programs.
"As these prescriptions were not issued for a legitimate medical purpose, they were not eligible for reimbursement by either program. The $200,000 being paid by August includes $994.22 in restitution to the Texas Medicaid Program and $44,380.55 in restitution to the Medicare Part D program. The remainder constitutes civil damages under the FCA, the THCFPA, and civil penalties under the CSA."
August previously surrendered his DEA registration. He will not seek a new a new registration, according to federal prosecutors. He will also surrender his license to practice medicine in Texas.