26 latest healthcare industry lawsuits, settlements

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From Charlotte, N.C.-based Carolinas HealthCare System asking a federal court to dismiss an antitrust lawsuit to a New York pharmacist found guilty of distributing black-market HIV drugs, here are the latest healthcare industry lawsuits and settlements making headlines.

1. Former Sacred Heart physician gets 2 years for role in kickback scheme
Venkateswara Kuchipudi, MD, was sentenced to two years in prison for his involvement in a kickback scheme at now shuttered Sacred Heart Hospital in Chicago.

2. Former health official bent law for Steward, lawsuit alleges
Southcoast Hospitals Group in Fall River, Mass., filed suit against the Massachusetts Department of Public Health, alleging former agency secretary John Polanowicz wrote legislation specifically designed to help Steward Health Care System in Boston build a new heart center.

3. DOJ sues Mississippi for ADA violations: 4 things to know
The Department of Justice sued the state of Mississippi, alleging the state violated the Americans with Disabilities Act and Civil Rights of Institutionalized Persons Act by neglecting to provide necessary, community-based mental health services to adults with disabilities.

4. Novant class-action settlement over retirement plan expected to top $100M in value
Novant Health entered a settlement agreement to resolve allegations the Winston-Salem, N.C.-based system charged excessive fees for its defined-contribution retirement plan.

5. Carolinas HealthCare asks court to dismiss antitrust lawsuit
Charlotte, N.C.-based Carolinas HealthCare System asked a federal court to dismiss an antitrust lawsuit alleging the hospital system drove up costs in the region by imposing steering restrictions in contracts with commercial health insurers.

6. NY pharmacist guilty of distributing black-market HIV drugs
After a four-week jury trial, 63-year-old pharmacist Ira Gross was found guilty of distributing HIV medication illegally obtained from the black market to patients.

7. Anesthesia group will pay $1M to resolve kickback allegations
Alpharetta, Ga.-based Sweet Dreams Nurse Anesthesia agreed to pay more than $1 million to resolve allegations it violated the False Claims Act and the Anti-Kickback Statute by paying kickbacks to healthcare providers for referrals.

8. AHA asks appeals court to reject FTC's proposed test for evaluating hospital mergers
The American Hospital Association filed a friend-of-the court brief, asking the U.S. Court of Appeals for the 7th Circuit to reject the Federal Trade Commission's proposed test for evaluating hospital mergers.

9. Aetna-Humana merger trial slated for Dec. 5
Trial proceedings concerning the Department of Justice's antitrust lawsuit against the proposed Aetna-Humana merger are set to begin Dec. 5.

10. Ex-Birmingham Health Care CFO sentenced in $11M fraud case
Birmingham (Ala.) Health Care's former CFO was sentenced to 17 years in prison, after pleading guilty to stealing nearly $1.7 million and diverting $11 million in funds from two healthcare facilities.

11. Former patient pleads guilty to assaulting nurse at Montana hospital
A 31-year-old man pleaded guilty to assaulting at nurse at Montana State Hospital in Warm Springs

12. Maine health insurance co-op sues feds over $23M of missing ACA payments 
Community Health Options, Maine's only health insurance co-op, is suing the federal government, claiming the U.S. failed to pay the insurer nearly $23 million in payments owed under the Affordable Care Act's risk corridor program.

13. Physician files class-action lawsuit against Banner over data breach
Phoenix-based Banner Health faces a class-action lawsuit regarding the massive data breach it reported earlier this month. The lawsuit, filed by a Banner physician, claims Banner was negligent and allowed the breach to occur and seeks compensation for identity protection and credit monitoring.

14. Teva's Cephalon inks $125M settlement with 48 states over generic delays 
Frazer, Pa.-based Cephalon — a subsidiary of Israel-based Teva Pharmaceuticals — reached a $125 million settlement with 48 states after an investigation found Cephalon purposefully delayed generic versions of its sleep disorder drug Provigil.

15. 8 individuals charged in $157M compounding pharmacy fraud scheme
Eight Florida residents were charged in an indictment for their alleged participation in a multi-million dollar fraud scheme.

16. Wisconsin pharmacist charged in $1M fraud scheme
Mark Johnson, a pharmacist in Janesville, Wis., was charged with healthcare fraud, making false statements in a healthcare fraud audit and identity theft.

17. AbbVie sues Amgen for patent infringement on Humira: 5 things to know 
Pharmaceutical company AbbVie filed a patent-infringement lawsuit against Amgen over a lower-priced copy of AbbVie's top-selling anti-inflammatory drug Humira.

18. Anti-abortion group, physician sue Illinois governor over Right of Conscience Act
A women's health nonprofit, a Rockford, Ill.-based medical center and a Downers Grove, Ill.-based physician are suing Illinois Gov. Bruce Rauner claiming a law that ensures physicians inform their pregnant patients of all options available to them, including abortion, is unconstitutional.

19. Texas physician's estate, UMC Physicians to pay $3.28M to resolve false billing allegations
The estate of Kenneth Michael Rice, MD, and Lubbock, Texas-based UMC Physicians agreed to pay $3.28 million to the federal government and the state of Texas to resolve allegations Dr. Rice and UMCP violated the False Claims Act.

20. Advocate, NorthShore say FTC has no case for blocking merger on appeal
Downers Grove, Ill.-based Advocate Health Care and Evanston, Ill.-based NorthShore University HealthSystem filed an appellate brief defending a lower court's rejection of the Federal Trade Commission's attempt to block their potential merger.

21. Court upholds NJ law restricting ambulance, emergency services to Level I trauma centers
A New Jersey appellate court upheld a state law allowing Level I trauma centers to take over paramedic services.

22. Ariz. business group files suit to prevent hospital executive salary cap
The Arizona Chamber of Commerce and Industry filed a lawsuit on behalf of its member hospitals to prevent a ballot measure capping the salary of hospital executives.

23. 12 arrested in Miami for insurance fraud
Police arrested a dozen people in Miami-Dade County for various medical fraud schemes.

24. Hawaii sues to temporarily suspend pension bill affecting hospital employees
The Hawaii Employees' Retirement System filed a lawsuit against the state and Hawaii Health Systems Corp., a state-funded hospital network based in Honolulu, asking a state court to temporarily suspend a bill that aims to financially assist state employees at three hospitals undergoing privatization by Oakland, Calif.-based Kaiser Permanente.

25. Adventist sues Wellmont over delay in acquisition of Tacoma Regional
Altamonte Springs, Fla.-based Adventist Health System filed a breach of contract lawsuit against Kingsport, Tenn.-based Wellmont Health System alleging Wellmont is refusing to close on a transaction.

26. Ex-hospital employee charged with theft of fentanyl
A former employee of Central DuPage Hospital was charged with stealing narcotics from the Winfield, Ill.-based hospital.

More articles on health law:

31 recently unsealed false claims cases: 5 takeaways
21 latest healthcare industry lawsuits, settlements
Ex-hospital CFO claims he was fired for blowing the whistle on chairman of the board

 

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