A number of individual diagnostic centers had perpetrated a fraud on Medicare that was stopped when a whistleblower that worked at one of the companies came forward to the fraudulent practices that were going on at the centers. This scheme defrauded Medicare out of a large amount of money and resulted in a large recovery of money that the whistleblower was able to also have a claim against.
The way that the scam worked was that they would improperly bill Medicare for their services of heart monitoring. They would get the doctors to enroll for their service and trick the doctor into always selecting the most expensive option of the heart monitoring service. It didn’t matter if the patient didn’t need that level of monitoring or not, which is where the fraud comes in. This had occurred between the years of 2010 and 2016 before it was finally stopped by the whistleblower.
The four companies involved in this scam will have to pay 13.4 million dollars with each actual amount relating to their role in the scheme. The former employee who blew the whistle on this scheme will get themselves a 2.4 million check for their New Jersey claim. The False Claims Act is legislation that encourages whistleblowing, as it rewards the person with a chance to get a portion of any money that is recovered. The person has to bring a civil lawsuit to earn it.
To an outside observer, this case has a very favorable outcome in getting such a large payment for what many would see as doing the right thing. However, it can be hard to stand up to your employer that you depend on for your living. If you find yourself in a situation where you are considering being a whistleblower, an attorney can assist you. Contact Garber Law today about what you can expect from going through this process.