Recent False Claims Act Settlements

The Department of Justice recently announced the following settlements in False Claims Act cases:

United States Settles False Claims Act Suit Against Good Shepherd Hospice Inc. and Related Entities

Good Shepherd Hospice Inc. agreed to pay $4 million to resolve allegations that Good Shepherd submitted false claims for hospice patients who were not terminally ill. Good Shepherd is a for-profit hospice headquartered in Oklahoma City which provides hospice services in Oklahoma, Missouri, Kansas and Texas.

Medtronic Inc. to Pay $2.8 Million to Resolve False Claims Act Allegations Related to “SubQ Stimulation” Procedures

Medtronic Inc., a medical device manufacturer, has agreed to pay the United States $2.8 million to resolve allegations under the False Claims Act that Medtronic caused certain physicians to submit false claims to federal health care programs for a medical procedure known as “SubQ stimulation.” Medtronic Inc. is a medical technology company based in Minnesota.

Iowa Home Care Company to Pay $5.63 Million to Settle False Claims Act Allegations

ResCare Iowa Inc. has agreed to pay $5.63 million to the United States and the state of Iowa to resolve allegations that it violated the False Claims Act by submitting false home healthcare billings to the Medicare and Medicaid programs, according to the Department of Justice. ResCare Iowa – a subsidiary of Louisville, Kentucky, based ResCare Inc. – provides home healthcare services to patients in the state of Iowa.

AstraZeneca to Pay $7.9 Million to Resolve Kickback Allegations

AstraZeneca LP, a pharmaceutical manufacturer based in Delaware, agreed to pay the government $7.9 million to settle allegations that it engaged in a kickback scheme in violation of the False Claims Act. AstraZeneca markets and sells pharmaceutical products in the United States, including a drug sold under the trade name Nexium.

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