Healthcare-Related False Claims Act Settlements Reach $1.8 Billion in FY 2023

The False Claims Act (FCA), the federal government’s primary tool for civil enforcement, is resulting in record returns. The U.S. Department of Justice reported 543 settlements and judgments, recovering $2.68 billion in the fiscal year ending Sept. 30, 2023. Of that, more than $1.8 billion related to matters involving the healthcare industry, including managed care…

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­PET Scan Company and Owner to Pay $85M to Settle Anti-Kickback Statute Allegations

An Illinois healthcare imaging company and its founder, owner and CEO have agreed to pay $85.5 million to settle claims that the company allegedly paid kickbacks to physicians to refer Medicare patients for cardiac scans using “sham” medical supervision agreements in violation of the Anti-kickback statute. The Settlement Agreement Cardiac Imaging Inc. (CII) and Florida…

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Diagnostic Testing Company Settles False Claims Act Case Filed by Whistleblower

Exposing fraud in diagnostic companies.

Exagen, a California-based life sciences company that makes diagnostic tests for the treatment of autoimmune conditions, recently settled allegations, filed by a whistleblower, that it violated the False Claims Act by paying physicians to use its laboratory tests. The Settlement Agreement The agreement called for Exagen to pay $653,143. The case was brought under the…

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

A medicare insurance kit with stethoscope and other medical equipment.

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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Lincare To Pay $29M to Settle Medicare Overbilling Healthcare Fraud Case

A picture of some money and a medical device.

Florida-based Lincare Holdings has agreed to pay $29 million to settle allegations it overbilled Medicare and Medicare Advantage plans for oxygen equipment provided to patients with respiratory-related illnesses. The settlement, which is the largest ever healthcare fraud settlement in the Eastern District of Washington settles claims that Lincare violated the False Claims Act. Lincare Agrees…

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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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The Federal Government Nets $2.2B in Settlements and Judgements Under the False Claims Act, Including $1.7B in Healthcare-Related Fraud

A chalkboard with the words fraud, whistleblower and false claims written on it.

Settlements and judgements under the False Claims Act (FCA) surpassed $2.2 billion for the fiscal year ending Sept. 30, 2022. Of that, $1.7 billion related to matters involving the healthcare industry, including drug and medical device manufacturers, durable medical equipment, home health and managed care providers, hospitals, pharmacies, hospice organizations, and physicians. The government and…

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