North Carolina Bill Offers More Protection for Whistleblowers

A 2009 qui tam lawsuit involving Wake Forest Baptist Health in Winston-Salem, N.C., has prompted a new state bill that would give protection to whistleblowers who identify wrongdoing affecting North Carolina's State Health Plan, according to a Winston-Salem Journal report.

North Carolina's general statute essentially covers state employees who raise concerns about state agencies and employees. Senator Ralph Hise (R-Avery) crafted a bill to amend that statute, providing more protection for people who report potential wrongdoing to the state's self-insured plan that provides coverage for 663,000 state employees and teachers.

The bill voids any provision in any contract with the State Health Plan that prohibits an employee's or contractor's ability to report wrongdoing. It also allows whistleblowers to receive damages against individuals who violate the statute and provides specific protection to any people who report potential fraud to the state health plan.

The bill stems from a case that spanned from 2009 to 2011 involving Wake Forest Baptist and Joseph Vincoli, a former administrative director at N.C. Baptist Hospital. Mr. Vincoli was fired by the hospital in October 2007 and agreed to a confidentiality settlement with the hospital in May 2008, for which he received $10,000.

In January 2009, Mr. Vincoli reported the hospital's alleged fraud involving the state health plan to state officials. Baptist filed suit against the whistleblower in January 2011 for "unjustified, vindictive, malicious and gratuitous actions," according to the report. The hospital withdrew the suit in October 2011, but Mr. Vincoli has said he spent at least $16,000 in attorney fees as a result of the suit. The suit was dismissed without prejudice, meaning the hospital could still re-file it against Mr. Vincoli.

More Articles on Whistleblower Lawsuits:

Parkland Memorial Hospital, UT Southwestern Physicians Face Fraud Allegations
Kindred Healthcare Subsidiary RehabCare Faces Federal Kickback Charges
Feds Get Another 180 Days to Decide on CHS Whistleblower Suit Intervention


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