Blue Shield of California, a Medicare carrier, paid $12 million to settle allegations in a qui tam whistleblower action that it misrepresented the quality of claims processing services it was providing for the Medicare program.
VSG’s qui tam lawyers, while in private practice and previously with the Department of Justice, have successfully represented whistleblowers and the government, winning many significant False Claims Act recoveries and qui tam settlements. Our whistleblower lawsuits have received national coverage in the media, including The New York Times, Wall Street Journal, Washington Post, Los Angeles Times, Boston Globe, and 60 Minutes.
The following are summaries of some of our cases.
CA Technologies agreed to pay over $11 million to settle allegations that the software giant violated the federal False Claims Act and similar state and local statutes through the fraudulent billing of hundreds of public agencies on software maintenance renewal contracts.
Extendicare Health Services, Inc., a nationwide nursing home chain, paid $10 million to settle qui tam whistleblower claims that the company’s skilled nursing facilities were providing patients with unnecessary rehabilitation therapy services for the sole purpose of obtaining higher reimbursements from Medicare. Extendicare paid VSG client Tracy Lovvorn an additional $990,000 in settlement of her claims for unlawful retaliation and attorney’s fees.
The Gallup Organization paid $10.5 million to resolve allegations that it defrauded the United States Government by submitting false and inflated labor hours and cost estimates in connection with price negotiations for fixed-price contracts to conduct polling for the U.S. Mint and State Department, and by obtaining Government contract work from FEMA while engaging in employment discussions with a FEMA official.
Hughes Aircraft Company paid $10 million to settle claims in a qui tam whistleblower lawsuit alleging that it submitted defective cost and pricing data under the Truth in Negotiations Act (TINA) in connection with a U.S. Air Force procurement.
Adventist Health System Sunbelt Healthcare Corporation, a hospital system, paid $8.7 million to resolve whistleblower claims in a qui tam case that it overcharged Medicare for costs of ambulance services.
ArmorGroup North America paid $7.5 million to settle a qui tam whistleblower lawsuit alleging that it submitted false claims to the State Department on its contract to guard the U.S. Embassy in Kabul, Afghanistan.
Florida radiologist Fred Steinberg paid $7 million to settle qui tam whistleblower claims in a qui tam lawsuit that he billed Medicare for medical imaging tests that were not ordered and were medically unnecessary. The settlement was among the largest recoveries ever for Medicare fraud against a single physician and his practice.
NIPSI, a pharmacy company, paid over $7 million to resolve allegations in a qui tam whistleblower case alleging that it overstated the cost of intravenous drugs.
Martin Marietta Corporation, a defense contractor, paid $5.3 million to settle a qui tam whistleblower lawsuit alleging that it double-billed the Government for engineering costs.
Home Americair of California, Inc., a durable medical equipment company that supplied home oxygen, paid $5 million to the Government to settle claims in a qui tam whistleblower case that it used false records to support claims to Medicare.
A government contractor paid over $5 million to settle allegations in a qui tam lawsuit that it sold supplies to the United States in violation of its contractual obligations to adhere to the Buy American Act and the Small Business Act.