7 latest healthcare industry lawsuits, settlements

From the former CEO and CFO of a Chicago hospital being sentenced to prison to an oncologist agreeing to pay $736,000 to settle false claims allegations, here are the latest healthcare industry lawsuits and settlements.

1. Former CFO of Chicago hospital sentenced to 1 year in prison
Roy Payawal, the former CFO of now-shuttered Sacred Heart Hospital in Chicago, was sentenced to one year in prison for his involvement in a kickback scheme.

2. Former Chicago hospital CEO sentenced to 4 1/2 years in prison
Edward Novak, the former owner and CEO of Sacred Heart Hospital in Chicago, was sentenced to 4 1/2 years in prison for his involvement in a kickback scheme.

3. Former employees of 2 Kansas hospitals agree to settle class-action lawsuit
Former employees of two Kansas hospitals who claimed they didn't receive promised separation benefits after the hospitals were sold to Ontario, Calif.-based Prime Healthcare Services in 2013 agreed to settle their class-action lawsuit.

4. 2 hospital chains sue NJ governor over new paramedic law
Marlton, N.J.-based Virtua Health and Trenton, N.J.-based Capital Health System filed a lawsuit against New Jersey Gov. Chris Christie, claiming a new paramedic law in the state is unconstitutional.

5. California oncologist pays $736k to settle false claims allegations
A Stockton, Calif., oncologist, Neelesh Bangalore, MD, agreed to pay the federal government $736,000 to settle allegations he violated the False Claims Act by billing Medicare, Medicaid and Tricare for certain chemotherapy drugs purchased from an unlicensed pharmaceutical distributor.

6. UPMC, Allegheny Health Network settle employees' lunch-pay lawsuits
Three hospitals in Pittsburgh-based UPMC's network and one hospital that is part of Pittsburgh-based Allegheny Health Network, settled lawsuits with seven employees who claimed their respective employers should have compensated them for working through meal breaks.

7. Data hack lawsuit moves to federal court
A lawsuit filed by the victims of a data breach that occurred at Washington, D.C.-based Children's National Health System was moved to federal court.

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Physicians beware, that gift basket might be a kickback

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