Atlantic City, Ventnor City Workers Also Under Federal Benefits Probe

The federal investigation into city workers profiting from a public employees’ health benefits scheme is now known to extend to Atlantic City and Ventnor as well as Margate. 

News broke Friday in an NBC 10 report that an FBI investigation concerning some Margate city workers and their prescription drug plans is underway and that a grand jury subpoena has been ordered for related information.

The Press of Atlantic City reports that Atlantic City Mayor Don Guardian confirmed the city, like Margate, received a grand jury subpoena in early June from the U.S. Attorney’s Office for information about employee health benefits. The city responded that month, he said.

Ventnor City Commissioner Lance Landgraf said Monday his city also received a subpoena.

One question now is what other South Jersey towns' employees are, or soon will be, facing investigation?

The Margate City grand jury subpoena requests a listing of all police, fire and city employees who have Express Scripts, Medco and/or NJ. Direct as part of their health care plans.

There was a massive spike in costs for prescription drugs by Margate city workers over a one-year period. Documents from Margate City show the cost for prescription drugs for city workers in 2014 was $713,935, but jumped to $3,351,726 in 2015, even though a similar number of prescriptions were filled.

No charges have been filed, and the FBI declined comment.

Source: NBC 10/ Press of Atlantic City

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