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Whistleblower Gets $28 Million Reward in Diabetic Testing Scam

Whistleblower Gets $28 Million Reward in Diabetic Testing Scam

The U.S. Attorney’s Office in Nashville, Tennessee announced a call center employee will receive over $28 million for blowing the whistle on a mail order diabetic testing supply scheme. Prosecutors say that that Arriva Medical violated the False Claims Act by paying kickbacks to Medicare and Medicaid beneficiaries. Some of the patients who “qualified” for testing supplies weren’t even alive!
The case began in February 2013 when Gregory Goodman started working as a...

Medicare Fraud Involving False LSCW Qualifications

There are millions of Americans receiving counseling services and mental health care. Many of the patients receiving these services are on Medicare or Medicaid. Doctors’ offices and clinics that provide these services have an obligation to ensure those that provide these important services are properly trained and qualified.
In this post we discuss a recent case where the government claimed a Delaware provider accused of billing for unqualified Licensed Clinical Social Workers....

Doctors Care and UCI Will Pay $22.5 Million Over Medicare Fraud, Whistleblowers Receive $5.4 Million Award

Doctors Care and UCI Will Pay $22.5 Million Over Medicare Fraud, Whistleblowers Receive $5.4 Million Award

South Carolina-based Doctors Care and UCI Medical Affiliates of South Carolina will pay $22.5 million to resolve Medicare fraud allegations. The alleged misconduct was exposed in a False Claims Act lawsuit filed by two whistleblowers who used to work at UCI, a medical biller and a health care management specialist. The whistleblowers will share a $5.4 million award for their efforts in uncovering fraud.
UCI manages Doctors Care, an urgent-care chain headquartered in Columbia. The two...

Three Ohio-Based Psychiatric Hospitals Will Pay $10.25 Million Over Anti-Kickback Violations  

Three Ohio-Based Psychiatric Hospitals Will Pay $10.25 Million Over Anti-Kickback Violations  

Cambridge Behavioral Hospital, Ridgeview Behavioral Hospital, The Woods at Parkside, and their parent company Oglethorpe Inc. (collectively Oglethorpe) have agreed to pay $10.25 million to resolve allegations that they violated the Anti-Kickback Statute.
Oglethorpe operates medical facilities throughout Florida, Texas, Louisiana, and Ohio. Its alleged misconduct came to the attention of the Justice Department through a False Claims Act (FCA) complaint filed by a former Cambridge...

Three Men Convicted in $515 Million Mississippi Healthcare Fraud Case Involving Pain Creams   

Three Men Convicted in $515 Million Mississippi Healthcare Fraud Case Involving Pain Creams   

Three men were just sentenced in connection with a healthcare fraud scheme involving unnecessary pain cream prescriptions. Nationwide, the alleged misconduct cost government healthcare programs $1.5 billion. In Mississippi alone, the illegal billings amounted to $515 million.
In 2016, law enforcement raided several pharmacies and doctor’s offices in Mississippi, the epicenter of the scheme. Five years later, Dempsey Levi, 51, and Jeffrey Rollins, 44, were sentenced to seven years in...

Athenahealth Will Pay $18.25 Million Over Anti-Kickback Statute Violations Involving Its Health Information Technology Product AthenaClinicals

Athenahealth Will Pay $18.25 Million Over Anti-Kickback Statute Violations Involving Its Health Information Technology Product AthenaClinicals

Massachusetts-based Athenahealth, aka Athena, will pay $18.25 million to settle claims that it violated the False Claims Act (FCA) and the Anti-Kickback Statute (AKS) in the promotion of its electronic health records (EHR) product AthenaClinicals.
For years, prosecutors claim, Athena ran three marketing programs that violated both the FCA and the AKS. Under one of these illegal programs, Athena allegedly paid as much as $3,000 to each doctor who signed up for its services.
The...

Unnecessary Heart Surgeries Leads to Medicare Fraud Conviction

A Tallahassee Florida surgeon is behind bars after being convicted of performing medically unnecessary cardiac angioplasties. On December 18, Moses deGraft-Johnson pled guilty to 55 counts of healthcare fraud and criminal conspiracy. He also pled to a count of aggravated identity theft.
Prosecutors and regulators are still trying to sort out how many patients were harmed by deGraft-Johnson. Over a several year period he performed hundreds of angioplasties and even billed for some that...

Hospice Chain Owner Sentenced to Pay $120 Million in Restitution Over Healthcare Fraud and Money Laundering  

The owner of a Texas-based hospice chain has been sentenced to 20 years in prison and to pay $120 million in restitution for enrolling ineligible Medicare beneficiaries in hospice programs.
Rodney Mesquias deceived thousands of patients, telling them they only had a few months to live in order to enroll them in hospice programs and secure Medicare reimbursements. The vulnerable patients he targeted suffered from Alzheimer’s, dementia, and other chronic conditions.
After a...

Texas Heart Hospital Pays $48 Million Over Medicare Fraud - Two Doctors Split $13.9 Million Whistleblower Award

Texas Heart Hospital Pays $48 Million Over Medicare Fraud - Two Doctors Split $13.9 Million Whistleblower Award

Texas Heart Hospital of the Southwest dba Heart Hospital Baylor Plano will pay $48 million to resolve Medicare fraud allegations raised in a whistleblower lawsuit. Two former Heart Hospital doctors filed the complaint.
According to Mitchell Magee and Todd Dewey, Heart Hospital set unreasonably high patient quotas for physician owners, inducing illegal Medicare beneficiary referrals in violation of the Physician Self-Referral Law (aka Stark law) and the Anti-Kickback Statute (AKS). The...

Biogen Will Pay $22 Million To Settle Medicare Fraud Claims, Whistleblower Receives $3.96 Million  

Biogen Will Pay $22 Million To Settle Medicare Fraud Claims, Whistleblower Receives $3.96 Million  

Cambridge-headquartered Biogen, Inc. will pay $22 million to settle fraud allegations involving illegal Medicare copays for its drugs Avonex and Tysabri.
Copays for prescription drugs covered by Medicare are important to keep drug prices in check. When Medicare beneficiaries are required to make a partial payment, drugmakers have to charge a price they can afford. Pharmaceutical companies, however, often circumvent this requirement by illegally paying copays to boost Medicare...

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