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Criminal Law

: Health Care Fraud Blog

Whistleblower to Collect $45M

By Robert David, Esq.

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As the results of a whistleblower lawsuit under the federal False Claims Act, a division of Quest labs of New Jersey entered a guilty plea in federal court to a felony charge of misbranding in Wednesday and agreed to pay $302 million which includes a 40 million dollar criminal penalty to settle charges that it marketed a flawed renal testing kit for kidney dialysis patients that produced inaccurate results. Thomas Cantor, a CEO of a lab in California , will collect $45 million of the settlement as Relator. Under the False Claims Act, a Relator privately initiates a lawsuit on behalf of the government for fraud on government programs and receives up to 15 percent of any recovery. For more details, click here.

Full post as published by Health Care Fraud Blog on April 16, 2009 (boomark / email).

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