Shands HealthCare to Pay Additional $3.25M in Whistle-Blower Case Settlement

Gainesville, Fla.-based Shands HealthCare has agreed to pay an additional $3.25 million to settle allegations six of its facilities violated the False Claims Act by submitting fraudulent claims to Medicare, TRICARE and Medicaid, according to a WTEV report.

The lawsuit against Shands HealthCare was originally filed in 2008 under the qui tam, or whistle-blower provision, of the False Claims Act. The whistle-blower was Terry Myers, president of Corydon, Ind.-based YPRO — a healthcare consulting firm — who filed the lawsuit after performing an audit of Shands HealthCare's hospital in 2006.

In August, 2013, Shands agreed to pay $26.2 million in the case, and the additional $3.25 million will resolve the remaining False Claims Act allegations made against the health system.  

Although the healthcare system agreed to the settlement it did not admit liability in the case.

More Articles on the False Claims Act:

4 Strategic Considerations in False Claims Act Lawsuits 
Trends in 2 Major Liability Risks in the Healthcare Industry 
15 Recent Healthcare Lawsuits, Settlements 

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