12 latest healthcare industry lawsuits, settlements

From a pharmaceutical company paying $280 million to settle a whistle-blower lawsuit to the CEO of a healthcare technology company being sentenced to nearly 10 years in prison, these are the latest healthcare industry lawsuits and settlements making headlines.

1. Celgene to pay $280M to settle whistle-blower case over cancer drugs
Celgene, a pharmaceutical manufacturer based in Summit, N.J., agreed to pay $280 million to resolve allegations it promoted two cancer treatment drugs for uses not approved by the Food and Drug Administration.

2. Woman pleads guilty to impersonating physician, operating clinics in 4 states for 15 years
An Alabama woman pleaded guilty to lying about her identity and her medical credentials for the last 15 years, during which she operated naturopathic clinics in four states. 

3. Pain Management Group to pay $312k to resolve false billing allegations
Antioch, Tenn.-based Pain Management Group agreed to pay $312,000 to resolve federal and state False Claims Act allegations.

4. Healthcare executive gets nearly 10 years in prison for $56.5M fraud scheme
Sreedhar Potarazu, MD, founder, president and CEO of McLean, Va.-based VitalSpring Technology, was sentenced July 19 to 119 months and 29 days in prison for defrauding VitalSpring's shareholders and failing to pay employment taxes.

5. Jury levels $4.5M verdict against Iowa hospital in age discrimination suit
Grinnell (Iowa) Regional Medical Center faces a $4.5 million verdict after a jury sided with a former lab director who claims he was fired because he refused to retire after he was diagnosed with cancer.

6. Fleeing suspect blamed in patient's death at Oklahoma hospital
Authorities say a 24-year-old man who tried to escape police custody at Baptist Hospital in Oklahoma City may have caused the death of another patient.

7. Amedisys settles $43.8M Medicare fraud lawsuit
Amedisys, a Baton Rouge, La.-based home health provider, will pay $43.8 million to settle a federal lawsuit alleging the provider and its former executives participated in a Medicare fraud scheme.

8. Vanderbilt University Medical Center pays $6.5M to resolve Medicare fraud allegations
Nashville, Tenn.-based Vanderbilt University Medical Center paid $6.5 million to settle a whistle-blower suit alleging VUMC committed Medicare fraud between 2003 and 2011.

9. Horizon BCBS ordered to hand over report used to create Omnia tiers
The New Jersey Supreme Court ruled Newark-based Horizon Blue Cross Blue Shield of New Jersey must disclose documents detailing how it selected hospitals for its discount tier health plans.

10. Patient stabs University of Nebraska Medical Center employee
A 37-year-old man was arrested after police say he attacked a phlebotomist at University of Nebraska Medical Center in Omaha.

11. Aurora Health Care settles HIV discrimination lawsuit for $60k
Milwaukee-based Aurora Health Care settled two HIV discrimination claims for a total of $60,000.

12. Montana family sues air ambulance company after receiving $109k bill
A Montana family filed a lawsuit seeking class-action status against Reach Air Medical Services after receiving a $109,000 bill for transporting their 6-year-old son 535 miles.

More articles on legal and regulatory issues:

Lawsuits allege Memphis hospitals engage in illegal billing practices
DOJ charges 412 in $1.3B healthcare fraud sweep
Former hospital executive admits stealing $391k from medical association

 

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