Cigna to Pay $173M to Settle False Claims Act Litigation Filed by Whistleblower

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Health insurance giant Cigna agreed to pay nearly $173 million to resolve allegations it violated the False Claims Act by knowingly submitting false diagnosis codes under the federal Medicare Advantage program to increase its payments. In a lawsuit filed last year, the feds alleged that between 2014 and 2019, Cigna submitted to the Centers for…

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Dermatology Company Settles Violations of Stark Law and Anti-Kickback Statute

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A Texas-based dermatology management company recently agreed to pay the U.S. government approximately $8.9 million, including $5.9 million in restitution, to settle self-reported allegations of potential violations of the Stark Law and the Anti-Kickback Statute resulting in liability under the False Claims Act. The Settlement Agreement According to the settlement agreement, from January 2013 to…

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Brain Health Scan Company Founder Settles False Claims Act Whistleblower Lawsuit

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The co-founder of a New York-based company that purported to provide brain health scans (EEGs) for early detection of cognitive impairments has agreed to pay $220,000 to resolve allegations he violated the False Claims Act. The company, Evoke Neuroscience Inc., also will pay $225,000. According to the U.S. Department of Justice, David Hagedorn, Evoke’s co-founder…

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HHS-OIG Details Successes of Efforts to Curb Healthcare Fraud and Abuse in Semiannual Report to Congress

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The U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG) recently released its Semiannual Report to Congress touting its many successes but also adding that a lack of funding has resulted in an inability to go after even more healthcare fraud and abuse. “We are turning down 300 to 400 viable…

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Illinois Healthcare System Settles Whistleblower Lawsuit Alleging Overpayment for Services for $12.5M

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A whistleblower lawsuit filed against St. Elizabeth’s Hospital of the Hospital Sisters Health System in Illinois has been settled for $12.5 million. The multi-institutional healthcare system that sponsors 15 hospitals in 14 communities across Illinois and Wisconsin, as well as an integrated physician network, is alleged to have committed billing errors that may have resulted…

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