False Claims Act Update & Alert

 
 

Taxpayers Against Fraud Education Fund | Washington, D.C. | WWW.TAF.ORG          
May 28, 2008

 
     
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Medtronic Settles for $75 Million
Medtronic Spine, formerly known as Kyphon Inc., has agreed to pay $75 million to settle a False Claims Act lawsuit which exposed the company's sales and pricing strategy which was designed to further fraud against Medicare.  The case was filed by whistleblowers Craig Patrick and Chuck Bates on behalf of the American government and its taxpayers.  >> To read more
   

National City Mortgage
to Pay $4.6 Million

National City Mortgage Inc. has agreed to pay $4.6 million to settle allegations it did not properly underwrite 58 federally insured mortgage loans submitted to the U.S. Department of Housing and Urban Development
(HUD). 
>> To read more

NJ Medicaid Watchdog?
Gov. Jon Corzine has nominated Mark Anderson, an assistant federal prosecutor for the Eastern District of Pennsylvania, to be New Jersey's new Medicaid watchdog.  New Jersey's False Claims Act was signed into law in January of this year after winning unanimous support in both the New Jersey Senate and Assembly.  >> To read more

Schering-Plough "Relationships"
In order to shed  light on the
$19 billion in gifts given to doctors every year, Senators  Charles Grassley and Herb Kohl introduced the Physician Payments Sunshine Act (S.2029).  AstraZeneca, Merck, Eli Lilly, PhRMA and AvaMed have come out in support, but Schering-Plough says reporting of gifts to doctors might upset "relationships." Cynics note Schering-Plough is named in three of the top 20 FCA cases settled to date. >> To read more