False Claims Act and Whistleblower News

The False Claims Act enables a private citizen with unique knowledge of fraud committed against the federal government (such as health care fraud, contract fraud, and tax fraud) to file a lawsuit under seal (not accessible to the public) seeking treble (triple the amount) damages on behalf of the government...
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recent posts - false claims act (FCA)

May 6, 2014
Florida-based Baptist Health Systems has agreed to pay $2.5 million to settle allegations that the company knowingly submitted or caused the submission of false claims to federal health care programs such as Medicare, Medicaid, TRICARE, and the Federal Employee Health Benefits Program, the U.S. Department of Justice announced today. This settlement resolves allegations that two neurologists in the Baptist Health network misdiagnosed patients with various neurological disorders, such as multiple... full text
May 1, 2014
The Medical Center of Southeastern Oklahoma (MCSO) and its parent, Health Management Associates, Inc., have agreed to pay $1,065,000 to the U.S. and $435,000 to the State of Oklahoma to resolve allegations that the hospital knowingly submitted or caused the submission of false claims to the Oklahoma Medicaid Program, the U.S. Attorney’s Office for the Eastern District of Oklahoma announced last month.  MCSO is an acute care hospital located in Durant, Okla.  HMA was acquired by... full text
April 29, 2014
Amedisys Home Health Companies have agreed to pay $150 million to settle allegations that the company knowingly submitted or caused the submission of false claims to Medicare, the U.S. Department of Justice announced last week.  Amedisys is one of the nation’s largest providers of home health services and operates in 37 states, the District of Columbia, and Puerto Rico. Allegedly, certain Amedisys offices improperly billed Medicare for ineligible patients and services.  Amedisys... full text
April 24, 2014
CRC Health Corp. has agreed to pay $9.25 million to settle allegations that the company knowingly submitted or caused the submission of false claims to Medicaid and Tennessee Medicaid, the U.S. Department of Justice announced last week.  CRC is a nationwide provider of substance abuse and mental health treatment services. CRC owns and operates a residential substance abuse treatment facility in Burns, Tenn., called New Life Lodge.  The government alleged that New Life Lodge billed the... full text
April 22, 2014
Illinois-based Astellas Pharma has agreed to pay $7.3 million to resolve allegations that the company knowingly submitted or caused the submission of false claims in connection with the drug Mycamine, the U.S. Department of Justice announced last week. The settlement resolves allegations that Astellas knowingly marketed and promoted the sale of Mycamine for pediatric use, which was not a medically accepted indication and, therefore, not covered by federal health care programs.  During this... full text
April 17, 2014
The federal government has intervened in a False Claims Act lawsuit against Orbit Medical Inc. and its former Vice President Jake Kilgore, alleging that Orbit Medical’s sales representatives boosted power wheelchair and accessory sales by altering and forging physician prescriptions and supporting documentation, the Justice Department announced earlier this week. Medicare pays for power wheelchairs for beneficiaries who cannot perform mobility- related activities of daily living in their... full text
April 15, 2014
Kansas-based Hope Cancer Institute and its owner Dr. Raj Sadasvian have agreed to pay $2.9 million to resolve allegations that they knowingly submitted or caused the submission of false claims to Medicare, Medicaid, and the Federal Employee Health Benefits Program, the U.S. Department of Justice announced yesterday. The settlement resolves allegations that Sadasivan and Hope Cancer Institute submitted claims to federal health benefit programs for chemotherapy drugs that were not provided to... full text
April 10, 2014
Alliance Rehabilitation, LLC and Active Physical Therapy Services, LLC, along with three individuals associated with those businesses, have agreed to pay the federal government $2.78 million to settle allegations that the companies knowingly submitted or caused the submission of false claims to Medicare and the TRICARE health care program, the U.S. Attorney’s Office for the District of Columbia announced yesterday. The settlement resolves allegations that the companies submitted claims... full text
April 9, 2014
Five California-based masonry subcontractors and two individuals have agreed to pay the government $1.9 million to resolve allegations that the parties violated the False Claims Act in connection with military construction contracts, the U.S. Department of Justice announced today.  The defendants allegedly misrepresented their status as disadvantaged small businesses.  The defendants are Frazier Masonry Corp., F-Y Inc., CTI Concrete & Masonry Inc., Masonry Technology Inc., Masonry... full text
April 2, 2014
Connecticut-based Sikorsky Aircraft Corporation has agreed to pay $3.5 million to settle allegations that the company knowingly submitted or caused the submission of false claims in connection with inflated prices for Black Hawk helicopter parts, the U.S. Attorney’s Office for the District of Connecticut announced earlier this week. Sikorsky, which manufactures Black Hawk helicopters and spare parts for the U.S. military, allegedly failed to disclose accurate, complete and current cost... full text