"We have learned from CMS [the Centers for Medicare and Medicaid Services] that, despite receiving payments from CMS totaling $30,550,000 for the month of February 2010 and over $33,380,000 for the month of March 2010, Fox has not paid some pharmacy claims for the period leading up to the March 9, 2010 termination of the contract with CMS," the senators wrote to Fox CEO Kary Shankar on Jun. 30. "According to CMS, failure to pay these claims is in direct violation of the original contract and prompt-pay requirements."
Baucus and Grassley have asked Fox to explain why any of the funds are being held and how many claims remain unpaid. The senators also asked Fox if it intends to pay the outstanding claims and supply documentation that explains why unpaid claims do not have to be paid. The company is expected to respond to these questions by Friday.