Physician blows whistle on Dignity Health hospital system and neurosurgical group in surgeries by inexperienced medical students

An anesthesiologist and member of the medical staff at Dignity Health, d/b/a St. Joseph’s Hospital, brought a False Claims Act qui tam lawsuit against the hospital and Neurosurgical Associates, LTD, in which he alleged a bait-and-switch scheme whereby patients thought they were undergoing invasive and high-risk surgeries performed by highly regarded and experienced neurosurgeons. However, […]

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Marketing firm Publicis sued by Massachusetts AG for fueling opioid epidemic and getting docs to prescribe more OxyContin

 Massachusetts Attorney General Maura Health sued a global marketing company  Publicis for engaging in unfair and deceptive marketing schemes to help Purdue Pharma sell OxyContinm an addictive painkiller. The work included creating sales training materials and emails and other information distributed to prescribers to “humanize” the OxyContin brand, Healey said. The suit says that the […]

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Federal appeals court affirms $111 million jury award to Government in whistleblower case for kickbacks by blood testing diagnostic laboratories

A federal jury has awarded the Government $111 million against two blood testing labs and their sales consultants were hit with a $111 million for knowing and willful violations of the Antikickback statute and False Claims Act (31 U.S.C. § 3729) (FCA). Blood testing labs Health Diagnostic Laboratory (HDL) and Singulex entered into exclusive contracts […]

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SEC lawsuit charges former credit relating agency Morningstar Credit Ratings LLC violated securities laws regarding internal controls

The Securities and Exchange Commission filed a civil action alleging that former credit ratings agency Morningstar Credit Ratings LLC  violated disclosure and internal controls provisions of the federal securities laws in rating commercial mortgage-backed securities (CMBS). Credit ratings are used by market participants to help evaluate credit risk, price certain securities, and guide the investment […]

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DOJ sues Walmart nationwide for dispensing controlled substances to pharmacies through prescription opioid crisis

The Department of Justice has filed a nation-wide lawsuit against Walmart unlawfully dispensed controlled substances from pharmacies it operated across the country and unlawfully distributed controlled substances to those pharmacies throughout the height of the prescription opioid crisis. The complaint alleges that this unlawful conduct resulted in hundreds of thousands of violations of the Controlled […]

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Gilead Sciences Inc. pays $97 million to settle whistleblower case investigated by DOJ for paying kickbacks covering co-pays of Letairis

 Gilead Sciences, Inc. (Gilead), based in Foster City, California, must pay $97 million to settle claims that it violated the False Claims Act by illegally using a foundation as a conduit to pay the copays of thousands of Medicare patients taking Gilead’s pulmonary arterial hypertension drug, Letairis, the Justice Department announced today. “This settlement demonstrates […]

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U.S. files major False Claims Complaint against Teva Pharma over hundreds of millions of $ in kickbacks to sell Multiple Sclerosis drug Copaxone

The United States has filed a major False Claims Act complaint against Teva Pharmaceuticals USA Inc. and Teva Neuroscience Inc. (Teva), alleging that they illegally paid the Medicare co-pays for their multiple sclerosis (MS) product, Copaxone, through purportedly independent foundations that the companies used as conduits in violation of the Anti-Kickback Statute, the Department of […]

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Gordon Pederson of Utah posing as medical doctor to sell baseless cure for COVID-19 indicted on fraud charges

Utah resident Gordon H. Pedersen has been indicted for posing as a medical doctor to sell a baseless treatment for coronavirus (COVID-19).  According to the indictment returned by a federal grand jury in Salt Lake City late last week, Pedersen fraudulently promoted and sold ingestible silver-based products as a cure for COVID-19 despite having no […]

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Cordant Health Solutions, drug testing lab pays $12 million to settle charges it paid kickbacks for referrals of drug tests paid by Medicare

The U.S. Department of Justice and Sterling Healthcare Opco, LLC d/b/a/Cordant Health Solutions (Cordant), today settled a civil suit alleging Cordant illegally paid kickbacks to generate urine testing business from government insured consumers.  Cordant has agreed to pay various government healthcare programs $11,942,913 to settle the allegations.  Twenty percent of the settlement will go to […]

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