April 26, 2020
False Claim Filing Forces Reverse Mortgage Company to Settle Claim for $2.47 Million
Respa News reported on April 6, 2020 that a mortgage lender based in Tulsa, Oklahoma has agreed to pay $2.47 million to resolve claims, filed through the False Claims Act, that its predecessor company knowingly processed hundreds of Home Equity Conversion Mortgage (HECM) loans. These loans were insured by the…
April 26, 2020
Medical Company Agrees to Settle False Claims Act Charges for $1.85 Million
The District of Justice announced on March 12, 2020 that Sterling Medical Associates was settling charges by the DOJ that it violated the False Claims Act. The False Claims Act is a federal law that allows the government to seek repayment and penalties against anyone who submits false claims to…
April 26, 2020
The False Claims Act and the Public Disclosure Bar
Whistleblowers who file a lawsuit through their attorney may be entitled to a percentage of any recovery. The percentage of the reward depends on a variety of factors. Generally, whistleblowers may be entitled to up to 25% of the recovery if the US Department of Justice agrees to intervene. The…
April 17, 2020
Health Company Agrees to Settle False Claims Act Charges of Unnecessary Medical Services for $9.5 Million
The US DOJ announced on February 8, 2020, that Diversicare Health Services agreed to settle charges it violated the False Claims Act by submitting false bills to Medicare. The bills were for rehabilitation therapy services there weren’t necessary, weren’t reasonable, and weren’t performed by skilled personnel – according to the…
February 23, 2020
United States Files False Claims Act Complaint against Community Health Network for Stark Law Violations
The US Department of Justice announced, on January 7, 2020, that it had filed a complaint against Community Health Network Inc. (Community) in Indiana claiming the health provider had submitted false claims to Medicare. Stark law prohibits medical providers from billing Medicare “for services referred by a physician with whom…
January 29, 2020
Teva Pharmaceutical Agrees to Pay $54 Million to Settle False Claims Act Kickback Charges
Fierce Pharma reported on January 7, 2020, that Teva, a drug maker, has agreed to pay the $54 million sum to settle a claim brought by a whistleblower that it paid kickbacks, in the form of sham consultant and speaker fees, to several doctors. The whistleblowers were two former sales…
January 25, 2020
Anti-Kickback Statute Safe Harbors
The Anti-Kickback Statute provides that doctors, hospitals, and other healthcare providers can’t induce medical providers to refer patients based on illegal inducements and incentives. Generally, payments of cash, payment above fair market value, and payments for services such as speeches that are never delivered or are worthless are considered kickbacks.…
January 23, 2020
Appellate Judge Sexually Harassed Women, Calif. Panel Says
The Olympian reported on January 13, 2020 that a California judicial panel fount that a judge on the California Appeals court “sexually harassed numerous women at the courthouse, including a fellow judge whom he repeatedly groped and propositioned over nine years.” The Justice, Jeffrey Johnson, could be removed from the…
January 3, 2020
Whistleblower Awarded $23 Million for His Role in the Settlement of An Office Depot False Claims Act Case
Whistleblowergov.org reported in 2015 that 1,000 public schools across California will receive the lion’s share of a $68.5 settlement of a California False Claims Act (FCA) case. Office Depot settled the case, without an admission of liability, based on allegations it “fraudulently overcharged California school districts for school supplies.” The…
January 3, 2020
What Is the Anti-Kickback Statute and How Does It Relate to the False Claims Act?
The federal Anti-Kickback Statute is a federal law that essentially provides that doctors can’t accept and healthcare entities (such as hospitals, pharmaceutical companies, medical suppliers, and laboratories) can’t offer remuneration - in order to obtain referrals. Medical referrals should be based on what is best for a patient and not…