Fresenius Medical Care North America, a health care company, paid $385 million to settle civil claims in multiple qui tam whistleblower lawsuits that a predecessor company, National Medical Care, Inc., paid unlawful kickbacks to induce physicians and nurses to provide unnecessary intravenous nutrition to dialysis patients covered by Medicare.
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.
Omnicare, Inc. paid $98 million to settle allegations that drug manufacturers paid kickbacks to Omnicare so that the pharmacy chain would prefer their products over competing products when recommending products to nursing home patients, and that Omnicare paid kickbacks to nursing homes to secure their business. The settlements were based on allegations by four qui tam whistleblowers, including a firm client.
Omnicare, Inc. paid more than $20 million to resolve allegations made by a firm qui tam whistleblower client that the pharmacy chain knowingly overbilled the Medicaid programs of Massachusetts and Michigan as a result of its failure to comply with the “usual and customary charge” billing rule.
Ivax Pharmaceuticals a manufacturer of generic medications, paid $14 million to resolve qui tam whistleblower claims by a firm client that it paid kickbacks to become Omnicare’s exclusive supplier of certain generic medications.
Omnicare, Inc. the nation’s largest long term care pharmacy chain, paid $49.5 million to settle allegations made by two qui tam whistleblowers, including a firm client, that it switched the form of patient medications (e.g., tablets to capsules) without physician approval in order to maximize Medicaid reimbursement.
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.