The following is a roundup of recent lawsuits and settlements involving cases filed under the qui tam, or whistle-blower, provisions of the False Claims Act, beginning with the most recent.
1. Easton Hospital settles False Claims Act lawsuit for $662k
Easton (Pa.) Hospital agreed to pay $662,000 to resolve allegations the hospital violated the False Claims Act by billing Medicare for procedures that were not performed, were only partially completed, or were medically unnecessary. The lawsuit was originally filed by two EastonHospital employees.
2. Adventist Health hospital settles False Claims Act allegations for $2.25M
St. Helena (Calif.) Hospital agreed to shell out $2.25 million to settle allegations it violated the False Claims Act. The lawsuit was originally filed by a former hospital employee.
3. Judge calls whistle-blower a 'bounty hunter,' dismisses FCA suit against pharmacy
The Seventh Circuit Court of Appeals affirmed the dismissal of a lawsuit alleging Ukrainian Village Pharmacy in Chicago violated the False Claims Act by giving customers caviar and Russian language TV Guides, as well as waiving co-payments. The lawsuit was originally filed by a pharmacist formerly employed by Ukrainian Village Pharmacy.
4. Rite Aid pays $2.99M for allegedly using gift cards to get Medicare, Medicaid business
Camp Hill, Pa.-based retail drugstore chain Rite Aid paid the government $2.99 million to resolve allegations it improperly used gift cards as inducements to Medicare and Medicaid beneficiaries to transfer their prescriptions to Rite Aid pharmacies in violation of the False Claims Act. The lawsuit was originally filed by an independent pharmacist.
5. Dozens of physicians allegedly involved in $130M kickback scheme
A lawsuit filed by a former CFO of Plaza Health Network — a nonprofit network of rehabilitation, skilled nursing and long-term care centers based in Miami Beach, Fla. — alleges Plaza Health was involved in a $130 million False Claims Act and physician kickback scheme.
More articles on healthcare industry lawsuits:
Medical staff self-governing power supported by court decision
Cancer patients sue New York insurer for ending contract with physicians' group
2 former Sacred Heart executives plead guilty to roll in kickback scheme