Department of Justice (DOJ) | The Health Law Firm Blog

Specialty Pharmacy Settles Lawsuit Over Illegal Kickbacks

By Lance O. Leider, J.D., and George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law

The Department of Justice (DOJ) announced on December 27, 2012, that a specialty pharmacy, based in San Diego, California, has agreed to pay a $11.4 million settlement. That payment is to resolve allegations that the company used kickbacks to persuade doctors to write prescription for its products. The allegations came from a whistleblower lawsuit filed by a former employee.

Click here to read the press release from the DOJ.

Expensive Kickbacks Used on Doctors.

An article in Modern Healthcare states that the specialty pharmacy allegedly used tickets to sporting events, concerts, plays, spa outings, golf games and ski trips to bribe doctors to write prescriptions for its products. The company […]

By The Health Law Firm|2024-03-14T10:01:09-04:00May 15, 2018|Categories: Legal Defense for Pharmacists, Pharmacist, Pharmacy, Pharmacy Law, Whistleblower|Tags: Anti-kickback statue, Department of Justice (DOJ), false claims act, health care fraud, health care scheme, kickback scheme, legal representation, pharmaceutical company, qui tam suits, specialty pharmaceutical company, whistleblower, whistleblower attorney, whistleblower lawyers, whistleblower protection|Comments Off

Doctor Dubbed “King Of Nursing Homes” Downplayed Patient Harm From Illegal Kickback Scheme

By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law
On August 8, 2016, federal prosecutors blasted Dr. Venkateswara Kuchipudi, a Chicago physician nicknamed the “King of Nursing Homes,” convicted of sending nursing home patients to a hospital he believed was subpar allegedly in exchange for free staff. According to prosecutors, the doctor attempted to “whitewash his actions” when asking for a lenient sentence and caused actual harm to patients to satisfy his “callous greed” (words prosecutors reportedly used).

Prosecutors argued that U.S. District Judge Matthew Canaille should give Dr. Venkateswara Kuchipudi a sentence that reflects how vulnerable his victims were and how much Dr. Kuchipudi profited from billing insurers for the work he didn’t pay his staff to do. In March 2016, Dr. Kuchipudi was convicted of a charge related to the illegal kickback […]

By The Health Law Firm|2024-03-14T10:01:12-04:00May 15, 2018|Categories: Health Facilities Law Blog|Tags: Department of Justice (DOJ), health care fraud scheme, illegal kickback scheme, King of Nursing Homes, medicare audit, Medicare beneficiaries, Medicare fraud scheme, services, submitting false claims|Comments Off

Florida’s Medicaid Program Receives Settlement Payment from Pharmaceutical Company

By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law

The Florida Attorney General’s (AG) Medicaid Fraud Control Unit (MFCU), 46 other states and the federal government reached a $48 million agreement with pharmaceutical company Healthpoint Ltd., on February 25, 2013. According to the Florida AG, the settlement is in response to allegations of misrepresenting the regulatory status of an ointment used to treat skin conditions and submitting false Medicaid claims. Florida’s Medicaid program will receive almost $900,000 of the settlement.

Click here to see the press release from the AG’s office.

Pharmaceutical Company Allegedly Submitted False Claims to Medicaid.

According to the Department of Justice (DOJ), Healthpoint launched the ointment for the treatment of nursing home patients with bed sores. The settlement resolves allegations that Healthpoint marketed the ointment, Xenaderm, without the approval of the […]

By The Health Law Firm|2024-03-14T10:01:39-04:00May 15, 2018|Categories: Legal Defense for Pharmacists, Pharmacist, Pharmacy, Pharmacy Law, Whistleblower|Tags: Department of Justice (DOJ), false claims, false claims act, Federal Food Drug and Cosmetic Act, Florida defense attorney, Florida defense lawyer, Florida health care law, florida health law, Florida Medicaid fraud, Food and Drug Administration (FDA), Healthpoint, Healthpoint Ltd., medicaid, Medicaid fraud, medicaid fraud control unit, nursing homes, Office of Attorney General (AG), overpayment, pharmaceutical company, pharmaceutical drugs, quit tam, whistleblower|Comments Off

Feds File Two Lawsuits Against Novartis for Allegedly Giving Kickback to Pharmacists and Physicians

By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law

Novartis Pharmaceuticals Corporation (NPC) is currently fielding two different lawsuits, filed just days apart from each other, by the U.S. Department of Justice (DOJ). The first lawsuit was filed on April 23, 2013, alleging the company gave illegal kickbacks to pharmacists. A second lawsuit was filed on April 26, 2013, alleging illegal kickbacks were paid by NPC to health care providers. According to the DOJ, the government’s complaint seeks damages and civil penalties under the False Claims Act, and under the common law for paying kickbacks to doctors to induce them to prescribe NPC products that were reimbursed by federal health care programs.

Click here to read the entire press release from the DOJ.

Doctors and Pharmacists Allegedly […]

By The Health Law Firm|2024-03-14T10:01:12-04:00May 15, 2018|Categories: Legal Defense for Pharmacists, Pharmacist, Pharmacy, Pharmacy Law, Whistleblower|Tags: anti-kickback statute, attorney's fees, CHAMPUS, defense attorney, defense lawyer, Department of Justice (DOJ), doctor, doctor kickbacks, false billing, false claims, false claims act, Florida health care attorney, Florida health care lawyer, health law, hospital, kickbacks, legal representation, medicaid, medicaid audit, Medicaid false claims, Medicaid fraud, medical group, medicare, medicare audit, Medicare false claims, Medicare fraud, Novartis Pharmaceuticals Corporation (NPC), pharmacist, pharmacy, physician, qui taim, qui tam relator, qui tam suits, the health law firm, TRICARE, unnecessary procedures, Veterans Administration, whistleblower, whistleblower attorney, whistleblower lawyer, whistleblower protection|Comments Off

United Parcel Service (UPS) Agrees to Pay Settlement for Online Pharmacy Shipping

By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law

United Parcel Service, Inc. (UPS) will pay $40 million to the Department of Justice (DOJ) to settle a probe related to its shipments on behalf of illicit online pharmacies. This announcement came on March 29, 2013.

Click here to read the press release from the DOJ.

UPS and FedEx Corp., have been the targets of a federal investigation to crackdown on illegal sales of prescription drugs.

UPS Had Previous Warning of Investigation.

From 2003 to 2010, the government warned UPS that internet pharmacies were using its services to distribute controlled substances and prescription drugs, according to the Orlando Sentinel. Federal law prohibits the purchase of controlled substances without a valid prescription from a physician. Even after being made aware, the government alleges UPS did not implement procedures […]

By The Health Law Firm|2024-03-14T10:01:39-04:00May 15, 2018|Categories: Legal Defense for Pharmacists, Pharmacist, Pharmacy, Pharmacy Law, Pharmacy Law Blog, Trafficking Prescription Painkillers|Tags: defense attorney, defense lawyer, Department of Justice (DOJ), distribute controlled substances, distribute prescription drugs, Drug Enforcement Administration (DEA), Florida defense attorney, Florida defense lawyer, health care attorney, health care lawyer, illegal online pharmacy, Inc. (UPS), internet pharmacy, legal representation, online drug purchase, online pharmacy, pharmacies, pharmacy, United Parcel Service|Comments Off

Generic Drug Maker Ranbaxy Pleaded Guilty to Claims of Adulterated Drugs-Must Pay $500 Million Fine

By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law

Generic drug maker Ranbaxy USA Inc., pleaded guilty to drug safety violations and will be responsible for paying $500 million in criminal and civil fines, according to the Department of Justice (DOJ). The fines will resolve claims that the manufacturer sold inferior drugs and made false statements to the U.S. Food and Drug Administration (FDA) about manufacturing practices at two factories in India. This announcement was made by the DOJ on May 13, 2013. This settlement is the largest drug settlement to date involving a generic drug manufacturer and drug safety.

To read the entire press release from the DOJ, click here.

Ranbaxy USA Inc., is a subsidiary of Indian generic pharmaceutical manufacturer Ranbaxy Laboratories Limited. The entities listed in the settlement include: Ranbaxy, […]

By The Health Law Firm|2024-03-14T10:01:14-04:00May 15, 2018|Categories: Pharmacy, Pharmacy Law|Tags: adulterated drugs, Civil forfeiture, defense attorney, defense lawyer, Department of Justice (DOJ), false claims act, false statements, Florida Office of the Attorney General (AG), Food and Drug Administration (FDA), forfeiture, generic drug manufacturer, generic pharmaceutical manufacturer, Medicaid Fraud Control Unit (MFCU), pharmacist attorney, pharmacist lawyer, pharmacy attorney, pharmacy lawyer, Ranbaxy USA Inc., the health law firm, U.S. Food and Cosmetic Act|Comments Off

Fake Occupational Therapist Worked at Numerous Hospitals Around the State

By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law

A Kissimmee, Florida, man is accused of posing as an occupational therapist (OT) and working at various health care facilities in Central Florida, according to the Department of Justice (DOJ). On October 16, 2012, the DOJ announced that the phony OT was charged with three counts of mail fraud, five counts of wire fraud, and one count of aggravated identity theft.

Click here to see the press release from the DOJ.

Phony OT Worked at a Number of Central Florida Hospitals.

The fake OT allegedly took the license numbers of two legitimate OTs and stole the social security number of a North Carolina man. […]

By The Health Law Firm|2024-03-14T10:01:49-04:00May 15, 2018|Categories: Occupational Therapist|Tags: administrative action, defense attorney, defense lawyer, Department of Health (DOH), Department of Justice (DOJ), florida department of health, impersonating a therapist, licensing and regulatory, licensing issues, licensure cases, medical license, occupational therapist (OT), practicing medicine without a license|Comments Off

New Mexico’s Largest Mental Health Providers Accused of Defrauding Medicaid Out of $36 Million

By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law

For months now, 15 New Mexico behavioral health agencies have been the subject of a Medicaid fraud investigation. The state’s largest mental health providers had their Medicaid funding frozen by the New Mexico Human Services Department (HSD) due to credible allegations of fraud, according to KUNM News. The behavioral health agencies are accused of collectively defrauding Medicaid of $36 million over three years. The findings in an audit conducted in 2012, by OptumHealth, the contractor that handles Medicaid payments for New Mexico’s behavioral health system, alarmed state officials to the point that they hired Public Consulting Group (PCG), a firm that specializes in Medicaid fraud, to conduct another audit in June 2013.

These behavioral health agencies […]

By The Health Law Firm|2024-03-14T10:01:50-04:00May 15, 2018|Categories: Medicaid audit, Medicaid fraud, Mental Health Counselor, Mental Health Counselor Law|Tags: Attorney General (AG), behavioral health agencies, defense attorney, defense lawyer, Department of Justice (DOJ), false billing, false claims, false claims act, legal representation, medicaid, medicaid audit, Medicaid false claims, medicare, medicare audit, Medicare false claims, Medicare fraud, mental health providers, Public Consulting Group (PCG), qui tam, qui tam lawsuits, settlement agreement, the health law firm, whistleblower, whistleblower attorney, whistleblower lawyer, whistleblower protection|Comments Off

Detroit Nurse Will Spend Time Behind Bars for Signing False Medicare Claims

By George F. Indest III, J.D., M.P.A., LL.M., Board Certified by The Florida Bar in Health Law

A Detroit-area registered nurse was sentenced on November 19, 2012, to 30 months in federal prison for his alleged part in a nearly $13.8 million Medicare fraud scheme. According to a Department of Justice (DOJ) press release, he will serve probation after being released from prison. He was also ordered to pay more than $450,000 in restitution, together with his co-defendants.

Click here to read the entire press release from the DOJ.

Nurse Paid Handsomely for Signing False Claims.

According to the nurse’s plea agreement, from December 2008 through September 2011, he was paid to sign medical records for a home health care agency that billed Medicare for services that were allegedly never rendered. The man […]

By The Health Law Firm|2024-03-14T10:01:56-04:00May 15, 2018|Categories: Medicare Fraud, Nurse License|Tags: Centers for Medicare and Medicaid (CMS), defense attorney, defense lawyer, Department of Health and Human Services (HHS), Department of Justice (DOJ), Federal Bureau of Investigation (FBI), fraud defense, fraud prevention, fraud schemes, home health care fraud, legal representation, medicare, medicare audit, Medicare false claims, Medicare fraud, nurse, Office of Inspector General (OIG), registered nurse|Comments Off