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Another Whistleblower Lawsuit: Why Care?

IN READING THIS ISSUE, YOU MAY LEARN, FOR THE FIRST TIME, how a former CEO of a public lab has filed two whistleblower lawsuits. His most recent qui tam lawsuit names Laboratory Corporation of America as defendant. The earlier qui tam lawsuit was filed against …

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‘Pull Through’ Is Key Issue in Lab Whistleblower Suit

CEO SUMMARY: Now comes a whistleblower lawsuit in federal court with the claim that, in the 2007 contract between UnitedHealth Group and Laboratory Corporation of America, LabCorp’s discounted lab test prices were a kickback that violated Medicare law. LabCorp has denied the al…

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January 9, 2012 “Intelligence: Late Breaking Lab News”

China-based Kindstar Globalgene Technology, Inc. (Kindstar), of Wuhan, Hubei Province, entered into an agreement to acquire and use the web-based anatomic pathology laboratory information system (APLIS) developed and sold by PathCentral, Inc., of Irvine, California. …

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Lab Testing, Pathology Is Fast-Growing in China

CEO SUMMARY: It was record attendance at the major pathology congress which took place in Hangzhou, China, last month. Because of the ongoing growth of China’s economy, the demand for healthcare—and for high-quality clinical lab and pathology testing—is rising at an accelerated pace…

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Are Prosecutors Afraid of Big and Little Lab Firms?

CEO SUMMARY: Settlements in the big whistleblower suits involving major lab companies typically generate national headlines. But seldom do the views of the “quiet majority” of lab owners and lab executives get much attention. These are the majority of lab professionals workin…

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Sonic Healthcare Ltd., Reports Full Year Earnings for FY 2011

ON AUGUST 23, Sonic Healthcare Ltd., of Sydney, Australia, released its financial results for its fiscal year ending June 30, 2011. This provided an opportunity to assess Sonic’s impact in the United States, where it has regularly expanded its testing activities. Sonic reported st…

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Understanding the Deal With Medi-Cal and Quest

CEO SUMMARY: It is now possible to see the specific language in the “Settlement Agreement and Release” document executed by the California State Attorney General and Quest Diagnostics Incorporated. For those clinical lab managers—and the attorneys who represent their labora…

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What Comes Next in Battle Over Discount Lab Prices?

CEO SUMMARY: Now that the settlement involving Quest Diagnostics Incorporated and the California Attorney General has been announced, attention turns to what comes next with the four remaining defendant lab companies in the whistle-blower lawsuit. There are several different scen…

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Medi-Cal Deal Raises Interesting Questions

CEO SUMMARY: From the perspective of the average citizen, it would appear that Quest Diagnostics scored two major “wins” over the California Attorney General in the negotiations as to how the whistleblower lawsuit was to be settled. Language in the settlement agreement would …

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PAML to Enter Kentucky With New Laboratory JV

CEO SUMMARY: This latest laboratory joint venture, in partnership with Saint Joseph Health System, gives Pathology Associates Medical Laboratories, LLC (PAML), a solid presence in Kentucky’s laboratory testing marketplace. Over the past 10 years, PAML, which is based in the Pac…

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