False Claims / Whistleblowers

May 21, 2013
Texas-based U.S. Renal Care has agreed to pay $7.3 million to resolve allegations that their subsidiary, Dialysis Corporation of America (DCA), violated the False Claims Act by knowingly submitting false claims to the Medicare program for more medication than was actually administered to dialysis patients, the U.S. Department of Justice announced today. Epogen is an...
May 17, 2013
In the largest drug safety settlement of its kind to date, generic drug manufacturer Ranbaxy USA Inc. pleaded guilty to felony charges relating to the manufacture and distribution of adulterated drugs, as well as violation of the False Claims Act, the U.S. Department of Justice announced this week.  Ranbaxy agreed to pay a criminal fine and forfeiture amounting to $150...
May 16, 2013
New Jersey-based C.R. Bard has agreed to pay the U.S. government $48.26 million to resolve allegations that it knowingly caused false claims to be submitted to Medicare for brachytherapy seeds used to treat prostate cancer, the U.S. Department of Justice announced this week. The United States alleged that from 1998 to 2006, Bard violated the Anti-Kickback Statute when the...
May 9, 2013
A federal jury has found South Carolina-based Tuomey Healthcare System violated the Stark Law and the False Claims Act when it collected nearly $40 million in fraudulent Medicare claims, reported Sumter, S.C.’s The Item. Tuomey Healthcare System was accused of signing 19 doctors to lucrative part-time contracts that paid well above fair market value in order to continue...
May 7, 2013
Adventist Health and its Los Angeles-based affiliated hospital White Memorial Medical Center have agreed to pay the United States and the State of California $14.1 million to settle allegations that they violated the Anti-Kickback Act, the Stark Statute, and the False Claims Act, the U.S. Department of Justice announced last week. Adventist Health allegedly improperly...
May 1, 2013
The United States filed a second false claims action against Novartis Pharmaceuticals Corp. alleging that they paid kickbacks to doctors to induce them to prescribe Novartis pharmaceutical products that were reimbursed by federal health care programs, the Justice Department announced last week. The government alleges that from January 2001 through November 2011, Novartis...
April 24, 2013
The U.S. government filed its complaint against former cycling champion Lance Armstrong in Washington, D.C., Reuters reported yesterday.  Armstrong, now stripped of his seven Tour de France wins, is accused of defrauding his sponsor, the U.S. Postal Service, by taking millions of dollars in sponsorship money while at the same time engaging in prohibited substance and...
April 22, 2013
On April 16, the owner and another senior executive of Chicago’s Sacred Heart Hospital and four physicians affiliated with the facility were arrested in connection with a Medicare and Medicaid kickback and fraud scheme, the U.S. Department of Justice reported. Edward J. Novak, Sacred Heart’s owner and chief executive officer, and Roy M. Payawal, Sacred Heart’...
April 18, 2013
California-based biotechnology company Amgen, Inc. will pay the United States $24.9 million to settle allegations that Amgen knowingly caused the filing of false claims to the federal government, the U.S. Department of Justice announced. Amgen allegedly gave kickbacks to pharmacy providers Omnicare, Inc., PharMerica Corporation, and Kindred Healthcare, Inc. in return for...
April 11, 2013
The U.S. Internal Revenue Service held a hearing on Wednesday to receive feedback on new rules and proposals for implementing elements of its whistleblower program, Reuters reported.  Some of these proposals include guidelines for whistleblower submissions, criteria for determining the size of whistleblower recoveries, and allowing whistleblowers who die during the...