HOLLAND, Michigan — Michigan Attorney General Dana Nessel has issued a Notice of Intended Action (NIA) to a Holland pharmacy after receiving complains that the business was selling overpriced at-home COVID-19 test kits.
According to Nessel, Skip’s Pharmacy was selling these kits for $80 in January 2022, which is far more than their market value.
“When purchased online from the manufacturer, the iHealth COVID-19 Antigen Rapid Test currently retails for $17.98 for a package containing two tests and was selling for as high as $19.98 over the past month,” according to a release from Nessel’s office.
She called the price at Skip’s Pharmacy “artificially high.” The pharmacy has been attempting to justify the prices by providing invoices showing how much they paid to get the tests.
However, while Skip’s is accused of selling test kits at the highest price, NIAs have also been issued to Value Center Pharmacy II in Madison Heights and Birch Run Drugs in Birch Run.
According to the AG office, Murali Ginjupalli is the resident agent for all three entities. Due to this common connection, the NIA explains "it appears an effort was made to justify the prices being charged by Value Center and Skip's Pharmacy through invoices that do not reflect arms-length transactions."
Nessel’s office is now asking the involved pharmacies to look into a voluntary assurance agreement to avoid additional legal actions. They have until Feb. 13 to respond and have also been asked to provide additional documentation.
"Our attempts to look into consumer complaints have been met with unnecessary roadblocks thus far, so it is my hope this can be resolved without needing to take additional action against these pharmacies," Nessel said. "We will not stand for businesses exploiting this current wave of COVID-19 cases for monetary gain.”
The Better Business Bureau Serving Western Michigan urged caution amid a rise in such complaints since the onset of the coronavirus pandemic.
The Bureau offered advice to avoid falling prey to predatory practices:
"If you're going to other stores, and you're seeing the exact same product with a significantly different price point, that is kind of a red flag that maybe something is going on," BBB Spokesperson Katie Grevious noted. "Take pictures, send them to us, send it to the Attorney General's office, so that we can... find out who's doing this."
For the Office of the Michigan Attorney General's Consumer Protection Division, click here.
To report a complaint to the Better Business Bureau Serving Western Michigan, click here.
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