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Ex-Rite Aid VP charged in $5.7M kickback scheme

The United States Attorney’s Office for the Middle District of Pennsylvania announced that a former Rite Aid vice president and the two owners of an Atlanta based company have been charged for their role in a $5.7 million vendor kickback scheme.

According to U.S. Attorney David J. Freed, James W. Pilsner, 60, of Harrisburg, was charged with one count of wire fraud and one count of federal income tax evasion.

The criminal information alleges that Pilsner engaged in a kickback scheme with Larry Nuckols and Vance Taylor, the owners of Nuvision Inc., an Atlanta, Georgia-based company, between 1995 and August of 2017.

Officials said Pilsner entered into an agreement with Nuckols and Taylor that he would approve Nuvision’s invoices, some of which were false and inflated, for payment.

In exchange, Nuckols and Taylor would “kick back” a significant portion of Rite Aid’s payments to Pilsner.

Between 2001 and August of 2017, Rite Aid paid Nuvision approximately $45.3 million dollars. Pilsner allegedly received no less than $5,124,862 in kickbacks over that time period, with another $634,300 paid to other Rite Aid employees designated by Pilsner.

Pilsner is also charged with income tax evasion.

Nuckols and Taylor were also charged.