False Claims Act Update & Alert

 

Taxpayers Against Fraud Education Fund | Washington, D.C. | WWW.TAF.ORG
April 10, 2007

   

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Settlement on Oklahoma
Meth Lab Cleanup
Case
A Guthrie, Oklahoma environmental company that contracted with the DEA to clean up hazardous methamphetamine labs has agreed to pay $850,000 to the federal government for improperly disposing of chemicals such as lithium, Freon and anhydrous ammonia.  >> To read more

Dey Settles in Hawaii
One of the 44 drug companies that was sued last year for price-gouging Hawaii's Medicaid program has agreed to settle for more than $1 million.  Since 2003, Dey has settled similar lawsuits in Texas, Connecticut, Idaho, Ohio and Missouri. The drugs Dey sold to Hawaii's Medicaid program were used to control asthma. >> To read more

Medcath Tries to Settle

MedCath's SEC Form 8-K notes the company recently tried to settle an FCA case with the Federal Government for $2.7 million, but that DoJ was having none of it.  The tab owed according to DoJ:  $8.5 million.  >> To read more

Sheehan to Head New York
Medicaid Fraud Fighting Team
Jim Sheehan, the U.S. Attorney in Philadelphia, has agreed to become the new Medicaid Inspector General for the State of New York, a clear sign Gov. Elliot Spitzer plans to go after fraud hammer and tong using the new New York State False Claims Act. >> To read more

Jim Alderson Honored 
Jim Alderson, who graduated from the Montana School of Business in 1969 with a degree in accounting, will be honored with an honorary doctorate from the same school in May. Alderson blew the whistle on the Quorum Health Group, and was one of the primary whistleblowers in the HCA case.  >>  To read more

Tony Soprano Health Care
In the pilot for HBO's hit series, The Sopranos, Tony Soprano "encourages" a doctor pay his gambling bills by billing Medicare and Medicaid for MRIs that are never performed.  In the first episode of this season, we find Tony importing expired Fosamax, an osteoporosis medicine, from Canada.