The Bayer Corporation has been a household name for decades, selling aspirin and other pharmaceutical products to consumers. Now the Justice Department announces $40 million in penalties for its actions involving Trasylol, Avelox and Baycol. The settlement resulted...
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Medicare / Medicaid Fraud
Doctor charged by the state for unnecessary tests
Attorney General Letitia James announced on August 1 that a medical doctor from Kings Point and his company (America’s Imaging Center, Inc.) are accused of unnecessary radiological testing and kickbacks to employees and defrauding Medicaid. The years-long scheme...
Another billion-dollar fraud involving the health care industry
On July 20, the Department of Justice announced a $1.2 billion health care fraud case. This action involves coordinated nationwide enforcement to charge 36 defendants in 13 federal districts with fraud schemes involving telemedicine, clinical laboratory and durable...
Hospitals face penalties for not making prices public
The Centers for Medicare and Medicaid Services (CMS) hit two hospitals in Georgia with $1.1 million in financial penalties for violating the 2021 rules requiring hospitals to share their medical procedures and treatment prices. This change (which the CMS will enforce)...
Feds bring suit against two company heads running 11 nursing facilities
The Southern District of New York and the U.S. Department of Health and Human Services have filed a healthcare lawsuit against 11 New York-based defendants. The lawsuit seeks damages and penalties for billing Medicare for unreasonable or unnecessary procedures at 11...
Home healthcare agencies settle claims of not appropriately paying staff
Two licensed home care services agencies in Brooklyn have settled claims of not appropriately paying their staff. The cases were heard in the Eastern District of New York. All American Homecare Agency and Crown of Life violated the federal False Claims Act and New...
New York’s Medicaid fraud protections are substantial
New York State is one of 32 that have their qui tam statute. Like other statutes at the state and federal level, the New York State False Claims Act (NYFCA) empowers whistleblowers to file lawsuits against companies and individuals who submit fraudulent claims to the...
Whistleblowers help DOJ recover billions
The Department of Justice recovered over $1.6 billion thanks to qui tam whistleblower lawsuits in the fiscal year 2021, which is October 1, 2020, to September 30, 2021. The qui tam provisions under the False Claim Act empower private citizens to file lawsuits on...
DOJ takes first case involving data mining
In September of 2021, the Justice Department accused a health insurer in upstate New York and an affiliated medical data analytics company of cheating the federal government out of tens of millions of dollars. The civil complaint of fraud is the first to target a data...
Diabetic shoe company to pay $5.5 million
The Florida-based Foot Care Store, which did business as Dia-Foot, agreed to pay $5,538,338 to settle allegations that it violated the false claim act between 2013 and 2018. The settlement resulted from a former employee filing a claim – and they will subsequently...