Warner Chilcott Pays $125M for Kickback Allegations; Former Pres. Indicted

Warner Chilcott agreed to pay $125 million to settle allegations that the company paid kickbacks to doctors under the guise of medical education events and speaker fees.  The company will also plead guilty to the conduct set forth in the information, which alleges that: Warner Chilcott employees, at the direction of company management, provided payments,…

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Novartis Agrees to Pay $390M to Settle Kickback Allegations

Novartis has agreed to pay $390 million to settle allegations that it gave discounts or rebates to specialty pharmacies to increase prescriptions of its drugs.  Three other companies–BioScrip, Accredo Health Group, and Express Scripts–have already paid a collective $75 million to settle related allegations.  In settling its case, BioScrip had agreed to provide the government with information…

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L-3 to Pay $4.63 Million to Settle Defense Contracting FCA Suit

L-3 Communications Corporation, Vertex Aerospace LLC and L-3 Communications Integrated Systems LP  (“L-3″) have agreed to pay $4.63 million to settle allegations that the companies overcharged the military for the time spent by independent contractors at pre-deployment processing sites.  According to DOJ: L-3 performed rotary aviation maintenance and support services for the U.S. Army in…

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SEC Pays Whistleblower Over $3 Million

The SEC announced that it paid an award of over $3 million to a whistleblower whose tip “helped the SEC crack a complex fraud.”  The SEC wrote: The whistleblower’s specific and detailed information comprehensively laid out the fraudulent scheme which otherwise would have been very difficult for investigators to detect. The whistleblower’s initial tip also…

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DaVita Pays $450 Million to Settle Non-Intervened FCA Suit

DaVita Kidney Care has agreed to pay $450 million to settle a False Claims Act case alleging that the dialysis center overbilled the government for drugs.  According to the whistleblower, DaVita billed the government for Zemplar, Venofer, and Epogen in ways that maximized the amount of wasted product reimbursed by the government.  For certain products, Medicare will…

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Two Labs to Pay $48.5 Million for Referral Fee Kickbacks and Unnecessary Testing

The Department of Justice announced that two cardiovascular disease testing laboratories have agreed to collectively pay $48.5 million to settle False Claims Act allegations.  According to DOJ, Health Diagnostics Laboratory Inc. (HDL) and Singulex Inc. paid kickbacks to physicians for referrals and billed for unnecessary tests. The allegations against HDL and Singulex were brought by…

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Adventist Health System to Pay $5.4 Million for Unsupervised Radiation Services

DOJ announced that Adventist Health System Sunbelt Healthcare Corporation (“Adventist Health System”) has agreed to pay $5,412,502 to settle allegations that it provided radiation services to cancer patients that were not supervised by a radiation oncologist or other qualified person: Radiation oncology services provided to patients served by Medicare and TRICARE, the Department of Defense’s…

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Gilbane Building Company to Pay $1.1 Million for Fraudulently Obtaining Contracts Set Aside for Disabled Vets

The Department of Justice announced that Gilbane Building Company has agreed to pay $1.1 million to settle allegations that W.G. Mills Incorporated (now part of Gilbane) created a front-company in order to obtain contracts set aside for small businesses owned by disabled veterans: To qualify as a SDVOSB [Service Disabled Veteran Owned Small Business], a…

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