Search results for: genetic testing
Genetic Testing Kickback Scheme Settled
Jacksonville, Fla.-based Ocenture LLC and its subsidiary, Carelumina LLC, agreed to pay $3 million to settle allegations that they paid and received kickbacks in connection with genetic testing samples. It was alleged that Ocenture solicited genetic testing samples from Medicare beneficiaries directly and through other marketers. The company then paid physicians to falsely attest that…
Read MoreFlorida Man Gets 14 Years in Genetic Testing Fraud Scheme
The owner and operator of telemarketing and telemedicine companies faces 14 years behind bars after pleading guilty to healthcare and wire fraud and evading taxes. Through information filed Feb. 3, Marc Sporn of Delray Beach was accused of creating an elaborate scheme that cost Medicare more than $20 million dollars. According to court documents, Sporn…
Read MoreGenetic Testing and DME Fraud Crackdown Nets a Dozen South Floridians
Healthcare fraud involving genetic testing and durable medical equipment (DME) have become a focus for federal investigators in recent years and another twelve South Floridians find themselves in the midst of the crackdown. Earlier this month, Zachary S. Seid, 35, of Boynton Beach and Anthony Cracchiolo, 42 of Parkland were arrested and charged with four…
Read MoreGenetic Testing Laboratory Settles Federal Civil False Claims Act Lawsuit Alleging Kickbacks for $2.5 Million
On January 11, 2021, the U.S. Attorney’s Office for the Western District of Wisconsin announced a $2.5 million dollar settlement with AutoGenomics, Inc., based on kickback allegations. In short, the lawsuit alleged that the lab, AutoGenomics, paid a marketing company kickbacks for each Medicare claim that the marketing company generated for the lab and was…
Read MoreOIG Alert: Beware of Genetic Testing Scam
The U.S. Department of Health and Human Services Office of Inspector General (HHS OIG) recently sent out an alert about a fraud scheme involving genetic testing. The government watchdog agency said Medicare beneficiaries are being offered the chance to get tested for certain genetic conditions through the use of a simple cheek swab, but they…
Read MoreGovernment Cracking Down on Genetic Testing Labs
As the use of genetic testing has grown in popularity, so too have the number of investigations into allegations that these labs may be paying kickbacks to physicians for ordering unnecessary tests. Most recently, two testing labs, Proove Biosciences in Irvine, Calif. and Dallas-based Next Health LLC, have been under investigation for doing just that.…
Read MoreGenetic testing latest scam targeting Tricare
The Tricare program is once again the target of fraudulent claims. The health insurance program for members of the U.S. military, their family and retired military, has been bilked millions of dollars for unnecessary genetic tests and drug screening, according to media reports. The latest alleged Tricare scam goes something like this: Labs set up…
Read MoreOIG Report: Genetic Tests Pose Risk for Fraud and Abuse
The use of genetic testing to determine the risk of developing certain diseases has taken off in recent years. And while they can help healthcare providers and their patients better understand the potential for future health problems and make informed decisions about their healthcare, their use also opens the door to fraud and abuse. A…
Read MoreCourt Reverses itself (in Part) in Laboratory Testing Case
A federal court judge in the District of Columbia has reversed his previous ruling that found Boston Heart Diagnostics Corp. was legally obligated to ensure the medical necessity of tests when submitting claims to Medicare. However, U.S. District Judge Reggie B. Walton did not go so far as to toss the lawsuit entirely, stating that…
Read MoreThe Federal Government Nets $2.2B in Settlements and Judgements Under the False Claims Act, Including $1.7B in Healthcare-Related Fraud
Settlements and judgements under the False Claims Act (FCA) surpassed $2.2 billion for the fiscal year ending Sept. 30, 2022. Of that, $1.7 billion related to matters involving the healthcare industry, including drug and medical device manufacturers, durable medical equipment, home health and managed care providers, hospitals, pharmacies, hospice organizations, and physicians. The government and…
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