Universal Health Services has reached a tentative $127 million settlement with the federal government to resolve a False Claims Act investigation into its behavioral health care facilities. The company did not reveal the exact nature of the DOJ’s investigation, but previous public statements suggest it is related to unusually high admission rates and long patient stays in order to maximize profits. Universal is also currently involved in another long-running False Claims Act suit- commonly referred to as the Escobar case. To read the full story, click here.
A Kentucky jury awarded $500,000 in damages to a former Labor Cabinet employee who claimed he was fired in 2017 for reporting problems with an apprenticeship program promoted by Governor Matt Bevin. Michael Donta claimed that the nursing apprenticeship program never received its required approval by the U.S. Department of Labor. To read the full story from The Courier Journal, please click here.
The Department of Justice announced that Eagleville Hospital has agreed to pay $2.85 million to resolve allegations that it violated the False Claims Act. The hospital alleging submitted claims to Medicare and Medicaid for detoxification treatment services when the patients were ineligible for admissions. The lawsuit was originally filed by a whistleblower under the qui tam provisions of the False Claims Act. To read the full DOJ press release, click here.
Also, check out this article from Forbes about the landmark Reckitt Benckiser’s $1.2 billion settlement that we wrote about last week. The article, “What Reckitt’s $1.4 Billion Settlement Says about the Pharma Industry”, details the pivotal role that whistleblowers play in exposing the fraudulent sales and marketing tactics of pharma companies.
To learn more about our Whistleblower & Qui Tam practice click here. Our firm is located in Nashville, Tennessee but we represent whistleblowers all around the country. Call us today at (615) 244-2202.