The Justice Department announced today that the United States secured $2.4 billion in settlements and judgments involving fraud against the government in this fiscal year. Since 1986, after Congress strengthened the False Claims Act, the total recoveries have been more than $24 billion. When Congress amended the False Claims Act in 1986, the partnership between…
NJ Hospital to Pay $3.02 Million in Settlement of Qui Tam Lawsuit for Allegations of Medicare Fraud
The U.S. government will intervene in a lawsuit involving a New York Hospital and allegations of defrauding Medicare and has entered into a settlement with a New Jersey Hospital this week. The United States settled for $3.02 million, plus interest, with Trinitas Regional Medical Center. Both hospitals had lawsuits brought against them by a whistleblower,…
Kaiser Foundation Hospitals Settle False Claims Act Liability for $1.83 Million
Kaiser Foundation Hospitals have agreed to pay the U.S. $1,830,322.41 to settle False Claims allegations of billing Medicare for uncertified hospice services. The hospitals, Kaiser Sunnyside Medical Center, Kaiser Foundation Health Plan Northwest and Northwest Permanente P.C., were supposed to acquire written certifications of terminal illness for each hospice patient in order to legally bill…
Texas Hospital Group to Pay $27.5 Million to Settle False Claims Act Violation Claims
A Texas hospital group will pay the United States $27.5 million to settle claims that it violated the False Claims Act, the Anti-Kickback Statute and the Stark Statute between 1999 and 2006. The McAllen, Texas group allegedly paid illegal kickbacks to doctors in order to convince them to refer patients to hospitals within the group….
Largest U.S. Nursing Home Pharmacy to Pay $98 Million for Alleged Kickback Schemes
The nation’s largest nursing home pharmacy will pay $98 million to resolve allegations that it engaged in several kickback schemes. Omnicare Inc. of Covington, KY, allegedly received kickbacks from several parties, including IVAX Pharmaceuticals of Weston, Florida, which will pay an additional $14 million. In addition, a complaint has been filed against two large Atlanta-based…
Mylan Inc Pays US Government $121 Million for Whistleblower Dispute Over Generic Drug Sales
Generic drug maker, Mylan Inc, will pay the U.S government $121 million to settle a civil dispute, started by a whistleblower, involving Medicaid rebates on drug sales from 2000 to 2004. The dispute called into question whether an authorized generic medicine is subject to the generic rate that Mylan paid on sales from 2000 to…
Healthcare Company Pays U.S. Government $1.375 Million for Kickbacks and False Claims
After settling allegations of violating the False Claims Act, Harborside Healthcare and HHC Nutrition Services will pay the U.S. government $1.375 million after allegedly receiving kickbacks and assistance under the guise of a fake durable medical equipment (DME) provider company. The settlement resolves allegations that the company received kickbacks from McKesson Corp and its affiliate,…
Two Guides to the FCA From the Congressional Research Service
Two guides to the FCA from the Congressional Research Service are now available for download. Qui Tam: An Abbreviated Look at the False Claims Act and Related Federal Statutes (12 pages) Qui tam enlists the public in the recovery of civil penalties and forfeitures and rewards those who sue in the government’s name with a…
Six Hospitals Pay $8.3 Million In Qui Tam Lawsuit
Hospitals in Indiana and Alabama have agreed to pay the federal government $8.3 million to settle a whistleblower lawsuit. The suit alleges the hospitals overcharged Medicare for routine back surgery, called “kyphoplasty.” The six hospitals, three in Indiana and three in Alabama, settled the qui tam lawsuit ,which said that during a period from 2000…
NJ Pharma Company to Pay More Than $24 Million for Payment to Physicians to Research New Program
A New Jersey pharmaceutical company has pleaded guilty to kickback and conspiracy charges and will pay more than $24 million in criminal fines and civil payments. The company, Biovail Pharmaceuticals, LLC., pleaded guilty to charges of paying thousands of physicians to engage in a program called “PLACE” (Proving Long Acting Through Experience) and to prescribe…