A federal judge in New York has ruled that Bon Secours Health System will be required to face a lawsuit filed against the company alleging that it committed Medicaid fraud, Medicare fraud and abuse.

Whistleblower June R. filed the qui tam lawsuit under the False Claims Act alleging that last December Bon Secours defrauded the government out of millions of dollars by submitting false Medicare and Medicaid claims, then subsequently fired her for bringing forth the allegations.

U.S. District Judge Richard M. Berman partially denied Bon Secours’ motion to dismiss after determining that June adequately demonstrated that five of her allegations against the company were valid.

Among her allegations, June claimed that between 2007 and 2009, officials at Bon Secours forged signatures of physicians and billed Medicaid for services rendered that should actually have been billed to Medicare.

While the judge did allow the case to proceed, he did trim several allegations from the qui tam lawsuit.

Five allegations were dismissed in total, including one stating that June failed to specify claims that Bon Secours changed patients to undergo more costly treatment that was not medically necessary and billed Medicare for services that were not provided.

The judge will allow June to pursue her claim that Bon Secours retaliated against her.

June alleges that her company fired her just days after she told her superiors that she would be reporting their alleged wrongdoing to a representative of New York City Human Resources.

June “plausibly alleges that her protected conduct led to her termination because her conduct was closely followed in time by the adverse employment action (her termination),” Judge Berman stated.

According to court documents, June worked for Bon Secours as a vice president of home care services at its subsidiary for nearly a year. She claims that she discussed the allegedly fraudulent practices with senior executives months before she was fired.

Following her fifth amended complaint, Bon Secours asked Judge Berman to dismiss the case, but the judge found that June had provided adequate support in her whistleblower claims for them to be allowed to proceed.

As part of his recent decision, Judge Berman directed the both parties to participate in “good faith settlement discussions” prior to the June 16 conference that is scheduled.

Filing a Qui Tam Lawsuit

If you have witnessed fraud against the government including Medicaid fraud, Medicare fraud and abuse, you may be eligible to file a qui tam lawsuit under the False Claims Act.

Plaintiffs who file a qui tam lawsuit may be eligible to receive a settlement of 15 to 30 percent of the total settlement reached. In order to be eligible for this award and to receive protection against retaliation, potential plaintiffs must contact a lawyer first in order to proceed.

An experienced whistleblower attorney can review your case for free and can help you understand if you are eligible to file a qui tam lawsuit.

The Bon Secours Qui Tam Lawsuit is Case No. 1:10-cv-09650, in the U.S. District Court for the Southern District of New York.