TAG:
false claims act
Federal Judges: Paying Commissions Violates AKS
By Robert Michel | From the Volume XXVIII, No. 6 – May 3, 2021 Issue
CEO SUMMARY: Health Diagnostic Laboratory and its marketing partner, BlueWave Consultants, were back in the news recently after a three-judge panel of a federal appeals court denied a challenge from the former principals of those companies to an earlier court ruli…
UTC Labs to Pay $41.6 Million in a Civil Settlement With DOJ
By Joseph Burns | From the Volume XXVI No. 15 – November 4, 2019 Issue
ONE MORE LAB COMPANY has settled allegations of fraud and abuse. Last month, UTC Laboratories agreed to pay a fine of $41.6 million and will be excluded from all federal healthcare programs for 25 years. Announced Oct. 9, the settlement resolves allegations that UTC violated the F…
Quest Subsidiary Acquires True Health Assets for $8.5M
By Joseph Burns | From the Volume XXVI No. 14 – October 14, 2019 Issue
BANKRUPT LAB COMPANY TRUEHEALTH DIAGNOSTICS AGREED TO SELL some remaining assets priced at $8.5 million to Cleveland HeartLab, a subsidiary of Quest Diagnostics. True Health, with labs in Richmond, Va., and Frisco, Texas, filed a bankruptcy action in…
After Two-Year Battle with CMS, True Health on Verge of Collapse
By Robert Michel | From the Volume XXVI No. 11 – August 12, 2019 Issue
CEO SUMMARY: In 2017, an auditor for CMS alleged that True Health filed fraudulent claims and the federal Medicare program cut all payments to the lab company and one month later reduced the cut to 35% of the billed amount. Two months ago, CMS ended all payments again. These facts became …
Pathology Firm Pays $63M to Settle Qui Tam Case
By Joseph Burns | From the Volume XXVI No. 3 – February 25, 2019 Issue
CEO SUMMARY: Inform Diagnostics, formerly Miraca Life Sciences, settled the federal qui tam case while denying wrongdoing. The $63.5 million settlement will by paid by the former owner, Miraca Holdings, a Japanese company. The federal Department of Justice alleged that the company—then …
Several Big Surprises in 2018’s Top 10 Lab Stories
By Robert Michel | From the Volume XXV No. 18 – December 24, 2018 Issue
CEO SUMMARY: This year’s list of the Top 10 Lab Industry Stories for 2018 is dominated by new directives from Medicare and private health insurers, as well as significant decisions by federal courts. Collectively, these developments create new compliance risks for all clinical laborator…
Defunct, Oft-Troubled Calloway Labs Hit with $1.4M Federal Judgement
By Robert Michel | From the Volume XXV No. 14 – October 1, 2018 Issue
HOW OFTEN IS A DEFUNCT LAB COMPANY IN THE NEWS? That was the odd development last week when it was announced that a U.S. District Court had entered a $1.4 million civil judgement against Calloway Laboratories, Inc., a toxicology lab company formerly based in Woburn, Mass., for busine…
Peeking at Whistleblower Claims: How Labs Induce Physicians
By Robert Michel | From the Volume XXV No. 14 – October 1, 2018 Issue
IN RECENT DECADES, probably no sector of the U.S. healthcare system has seen the level of fraud and abuse that seems to pervade the clinical laboratory industry. The common perception is that illegal inducements between lab companies and referring physicians are rampant and federal prosecutors have f…
In HDL Case, Judge Imposes Damages, Penalties of $114 Million
By Joseph Burns | From the Volume XXV No. 8 – May 29, 2018 Issue
LAST WEEK, A FEDERAL JUDGE in South Carolina issued an order imposing civil damages and penalties of more than $114 million on Tonya Mallory, the former CEO of Health Diagnostic Laboratory, in Richmond, Va., and two owners of the lab’s marketing partner, BlueWave Healthcare…
Attorney Says Labs Face Increased Legal Liability
By Jon Stone | From the Volume XXV No. 6 – April 16, 2018 Issue
CEO SUMMARY: For many reasons, including cuts to lab test prices that health insurers pay, narrow networks, and more competition for lab test referrals, a significant number of lab companies are seeking ways to increase market share. These methods include the use of new laboratory test ar…
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