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September 5, 2014
General
New York Nursing Home Ralex Services Settles False Claims Act Allegations
In a joint effort between the U.S. Department of Justice and the New York Attorney General’s Office, New Rochelle-based Ralex Services, Inc., which does business as Glen Island Center for Nursing and Rehabilitation, has agreed to settle claims it improperly and unlawfully inflated claims for reimbursement from the state and […]
September 4, 2014
General
Seventh Circuit Rejects Public Disclosure Bar in Recent Whistleblower Lawsuit
As we have explored in previous posts, there are several defenses available to defendants named in a qui tam whistleblower lawsuit under the False Claims Act. One of the most well-known legal mechanisms used to avoid False Claims Act liability is known as the public disclosure bar. This term refers […]
September 3, 2014
General
Savannah-Based Optim Healthcare Settles False Claims Act Case
In an obscure set of facts, a Savannah-based healthcare facility recently remitted $4 million to the federal government following allegations it unlawfully re-routed patients to a facility over 90 miles away for inpatient procedures – all in the name of allegedly profiting from Medicare and Medicaid. According to the complaint, […]
September 2, 2014
General
New York Heart Center Settles False Claims Act Allegations for $1.33 Million
In a recent announcement from the Department of Justice of the Northern District of New York, the New York Heart Center has agreed to pay $1.33 million to avoid liability stemming from allegations of unlawful referrals. The settlement resolved a whistleblower lawsuit filed under the False Claims Act, which also […]
September 1, 2014
General
New Whistleblower Lawsuit Alleges False Billing by Aircraft Company Derco Aerospace, Inc.
In a recent False Claims Act case, a whistleblower has alleged that Derco Aerospace, Inc. has unlawfully engaged in fraudulent billing practices in violation of a contract between the company and the federal government. The case, which is speculated to be the largest whistleblower case ever filed in Wisconsin, involves nearly […]
August 29, 2014
General
Arizona Hospital Network Carondelet, Corp. Pays $35 Million to Settle Healthcare Fraud Claims
In yet another healthcare fraud case, a prominent Arizona-based hospital management company has agreed to remit $35 million to settle allegations of improper billing procedures. Earlier this month, Carondelet Health Network – which manages Carondelet St. Mary’s Hospital and Carondelet St. Joseph’s Hospital, both in the Tuscon area – agreed […]
August 25, 2014
General
Pennsylvania Hospital Faces False Claims Act, Wrongful Retaliation Allegations
In a False Claims Act and wrongful retaliation lawsuit filed earlier this year, a former Montgomery County laboratory technician is making startling allegations against Abington Hospital and its administration, including the assertion that she was unfairly threatened with termination following her decision to expose alleged billing discrepancies. The cause of action, which […]
August 22, 2014
General
California District Court Reviews Public Disclosure Bar in Light of False Claims Allegations by Realtor
The federal False Claims Act contains several provisions that essentially work to bar plaintiffs with certain types of actions from filing a whistleblower claim. One of these bars is known as the “public disclosure bar,” and it prevents a whistleblower from filing a claim involving allegations of fraud against the […]
August 21, 2014
General
Community Health Systems Pays $98 Million to Settle False Claims Act Allegations
In the largest-ever False Claims Act settlement in the Middle District of Tennessee, Community Health Systems has agreed to pay $98.15 million to resolve allegations it was engaging in fraudulent activity with Medicare and Medicaid patients, including unlawful referrals and kickback schemes. This settlement resolves several lawsuits filed by whistleblowers […]
August 20, 2014
General
UPDATE: U.S. Government Opts to Intervene in New York False Claims Act Case Against Continuum Health
Earlier this year, we reported on a False Claims Act case filed in the State of New York under its state level False Claims Act, which was then joined by the New York Attorney General’s Office. The case, which involves Continuum Health Partners and affiliated Mt. Sinai Health System, has […]
August 19, 2014
General
McKesson, Corp. Pays $18 Million to Settle False Claims Act Allegations it Falsely Certified Safe Vaccine Shipping Practices
Fraud by government contractors is one of the most common scenarios triggering liability under the False Claims Act. Beginning in the Civil War era, government contractors would routinely engage in misconduct by offering goods and services that fell far short of the requirements delineated in the contractual agreement. In today’s […]
August 18, 2014
General
Infirmary Health, Inc. Agrees to Pay $24.5 Million to Settle False Claims Act Allegations
In a press release issued by the U.S. Department of Justice late last month, Mobile, Alabama-based Infirmary Health, Inc. has agreed to pay over $24 million to settle claims it engaged in unlawful kickback schemes and fraudulent conduct in violation of the False Claims Act. The allegations specifically address unlawful […]
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