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Change Healthcare Hit by Major Cyberattack

CEO SUMMARY: It was a classic ransomware attack against Change Healthcare, the business unit of Optum that is itself a division of UnitedHealth Group. On Feb. 21, this cyberattack shut down critical systems at Change Healthcare, such as those involved in accepting and forwarding prescript…

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Genetics Company 23andMe Shares Update on Cyberattack

CONSUMER GENETICS HEALTHCARE AND BIOPHARMACEUTICAL COMPANY 23ANDME recently revealed that unauthorized access to millions of its customers’ personal information may have started earlier than the company previously reported. In its original U.S. Securities and Exchange Co…

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Violating EKRA Earns Lab Owner an Eight-Year Prison Sentence

THIS MAY BE THE MOST HIGH-PROFILE CASE involving a clinical laboratory and the Eliminating Kickbacks in Recovery Act of 2018 (EKRA). Former Arrayit Corporation president Mark Schena was sentenced in October 2023 to eight years in federal prison and ordered to pay $24 million in resti…

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Lab Execs Allegedly Lied to FDA about Faulty Tests

CEO SUMMARY: Three former executives of a lab testing company face criminal charges. Federal prosecutors claim that the three plaintiffs who previously worked at Magellan Diagnostics flagrantly hid…

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Balwani Guilty! Sentencing Is Next for Theranos Execs

CEO SUMMARY: The trial of former Theranos President and Chief Operating Officer Ramesh “Sunny” Balwani ended with convictions by a jury on 12 counts of wire fraud and conspiracy. Now all eyes are looking ahead to the sentencing of Balwani and Elizabeth Holmes, the founder and fo…

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PerkinElmer Says California Terminated COVID-19 Contract

ACCORDING TO A NEW SECURITIES FILING FROM PERKINELMER, the State of California served notice of termination of the company’s contract to run the beleaguered Valencia Branch Laboratory (VBL). PerkinElmer, a diagnostics firm based in Waltham, Mass., made the surprising announcement a…

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Microbiome Startups Pushing into the Clinical Lab Space

REPUTABLE CLINICAL LABORATORY COMPANIES HAVE A NEW COMPETITOR in what has been called the Wild West of microbiome startups.  Some of the companies in this nascent industry have been hailed for developing health breakthroughs while others have been indict…

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