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A former head of a pharmacy benefits manager pleaded guilty in federal court in Texas on Monday to paying kickbacks in order to win business from health plans.

Between 2001 and 2013, Douglas Pick, who was once chief executive at Pharmaceutical Technologies, orchestrated nearly $3.6 million in combined payments to the head of a health plan, as well as several individuals who were hired to boost business for the PBM, according to court documents. Pick faces up to three years in federal prison, according to the US Department of Justice.


We asked Pharmaceutical Technologies, which runs National Pharmaceutical Services, for comment and will update you accordingly. The PBM entered into a non-prosecution agreement in December 2015 and also agreed to pay more than $8.5 million. The PBM had previously settled a civil lawsuit brought by a Texas hospital system, which owns a health plan whose former chief executive conspired with Pick.

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