False Claims / Whistleblowers

December 27, 2013
Illinois-based Abbott Laboratories has agreed to pay the United States $5.475 million to resolve allegations that the company violated the False Claims Act by paying kickbacks to induce doctors to implant the company’s vascular products, the Justice Department announced today.  Abbott is a global pharmaceuticals and health care products company. The settlement...
December 23, 2013
Genzyme Corp. (Genzyme) has agreed to pay $22.28 million to resolve allegations, under the False Claims Act, that they knowingly marketed and caused false claims to be submitted to federal and state health care programs for use of a “slurry” version of its Seprafilm adhesion barrier, the Justice Department announced today.   Seprafilm is a thin film...
December 20, 2013
The Justice Department secured $3.8 billion for settlements and judgments from civil cases involving fraud against the government in the 2013 fiscal year, the U.S. Department of Justice announced today. This amount, which is the second largest annual recovery of its type in history, brings total recoveries under the False Claims Act, since 2009, to $17 billion – nearly...
December 19, 2013
Cardiologist Dr. Elie H. Korban (Korban) will pay $1.15 million to resolve False Claims Act allegations that he billed Medicare and Medicaid for medically unnecessary cardiac stent placements, the Justice Department announced today. Cardiac stents are mesh tubes placed in coronary arteries of patients to keep their arteries open during the treatment of coronary heart disease....
December 16, 2013
After a decade-long legal battle, Dr. Van Pena won $1.35 million from the California’s state-run Sonoma Developmental Center for wrongful termination in connection with his attempts to report “gross medical negligence” in 2000, Petaluma360 reported. Dr. Pena had worked at Sonoma Developmental Center, a full time care facility for over a thousand...
December 12, 2013
Northrop Grumman Corp. (Northrop ) has paid the United States $11.4 million to settle a government claim for penalties provided under the Federal Acquisition Regulation (FAR) and False Claims Act allegations stemming from its failure to abide by a 2002 settlement agreement, the Justice Department announced earlier this week. Northrop allegedly charged federal contracts certain...
December 10, 2013
The government has intervened in a lawsuit against IPC The Hospitalist Co. Inc. (IPC), and its subsidiaries, under the False Claims Act, for submitting false claims to federal health care programs, the Justice Department announced yesterday.  IPC, one of the largest providers of hospitalist services in the US, employs physicians and other health care providers who work in...
December 9, 2013
Lynch Ambulance has agreed to pay more than $3 million to settle a lawsuit, under the False Claims Act, alleging it received overpayments from the Medicare program and other federal health care programs for transporting patients who were not eligible for ambulance transports, the U.S. Attorney’s Office announced last month. Allegedly, Lynch Ambulance knowingly billed...
December 6, 2013
A federal jury has found that JM Eagle, the nation’s largest manufacturer of plastic pipe, violated the False Claims Act when it knowingly sold defective pipes to states and municipalities for use in drinking water, firefighting, irrigation and other public systems, the New York Times reported. JM Eagle, formerly J-M Manufacturing, allegedly cut costs by using shoddy...
December 4, 2013
Caremark LLC (Caremark) has agreed to pay the government more than $4.2 million to settle allegations, under the False Claims Act, that they knowingly failed to reimburse Medicaid for prescription drug costs, the Justice Department announced earlier this week. Caremark is operated by CVS Caremark Corp., one of the largest pharmacy benefit management (PBM) company and...