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Tag Archives: Government Programs Fraud

Carondelet Health Network To Pay $35 million To Settle Federal Health Care Billing Fraud Case; Whistleblower To Receive $6 million

On August 18, 2014 the Department of Justice (DOJ) announced that Carondelet Health Network (CHN), has agreed to pay $35 million to settle allegations that its affiliate hospitals, Carondelet St. Mary’s and Carondelet St. Joseph’s in Tucson, Arizona, knowingly violated the False Claims Act by overcharging the U.S. Government when it submitted false bills to […]

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Defense Bar Overstates Impact of the Fifth Circuit’s Decision in Shupe

On July 7, 2014, the Fifth Circuit decided an interlocutory appeal in United States ex rel. Shupe v. Cisco Systems, Inc., No. 13-40807, 2014 WL 3057093 (5th Cir. July 7, 2014), reversing the trial court’s decision that the False Claims Act (FCA) applied to E-Rate funds administered by the Universal Service Administrative Company (USAC), a […]

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Community Health Systems, Inc. to Pay the U.S. Government $98.15 Million to Settle Allegations of Health Care Fraud

On August 4, 2014, the Department of Justice (DOJ) announced that Community Health Systems, Inc. (CHS) has agreed to pay $98.15 million to settle allegations that it violated the False Claims Act when it knowingly overcharged the Government by billing government health care programs for inpatient services that should have been billed as outpatient or […]

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Matson Navigation Company to Pay a Settlement of $9.95 Million to U.S. Government for Improperly Billing the U.S. Department of Defense for Ocean Fuel Surcharges; Whistleblower to receive $2.5 Million

On July 28, 2014, Matson Navigation Company, Inc. (Matson), Hawaii’s largest container shipping company, agreed to pay the U.S. Government $9.95 million to settle allegations that they violated the False Claims Act (FCA) by improperly billing the U.S. Department of Defense (DOD) for ocean fuel surcharges.  The whistleblower that brought the case, Mario Rizzo, an […]

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Alabama Hospital System and Physician Group To Pay U.S. Government $24.5 Million in Settlement of Qui Tam Medicare Fraud Case; Whistleblower Rewarded $4.41 Million

On July 21, 2014, the Department of Justice (DOJ) announced that Mobile, Alabama-based Infirmary Health System Inc. (IHS), two IHS-affiliated clinics and Diagnostic Physicians Group P.C. (DPG) have agreed to pay the United States $24.5 million to settle allegations that they violated the False Claims Act by paying or receiving unlawful financial inducements in connection […]

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Court Allows Qui Tam Suit to Proceed Against Computer Sciences Corporation and Modis for Circumventing Small Business Act Requirements

Last week, a federal judge in the District of Columbia issued a ruling in which she refused to dismiss a whistleblower’s qui tam case brought under the False Claims Act (“FCA”) alleging that a company fraudulently evaded requirements of the Small Business Act (“SBA”). The SBA promotes government contractors’ use of small business subcontractors because […]

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Omnicare Pays $124 Million to Settle Whistleblower Allegations Involving Healthcare Fraud

The Department of Justice announced Wednesday that Omnicare Inc., the nation’s largest nursing home pharmacy company, has agreed to pay $124 million to settle whistleblower allegations of healthcare fraud. The whistleblower lawsuit alleged that the company engaged in a kickback scheme with skilled-nursing facilities all across the country. The lawsuit accused the Ohio-based company of […]

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Massachusetts Attorney General Goes After Drywall Company In False Claims Act Case Arising Out of Worker Misclassification

Massachusetts Attorney General Martha Coakley announced that her office has sued Universal Drywall LLC and its owner for violations of that state’s False Claims Act and consumer protection statute.  According to the lawsuit, the company repeatedly, and unlawfully, classified its workers as independent contractors rather than employees.  The Attorney General alleges that, by misclassifying its […]

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Amedisys Home Health Companies Pays $150 Million In Healthcare Fraud Case

The Department of Justice announced last week that Amedisys Inc. has agreed to pay $150 million to the federal government to settle False Claims Act allegations of healthcare fraud. It is alleged that the Louisiana-based home health company submitted false home healthcare billings to the Medicare program.  Amedisys is one of the nation’s largest providers […]

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