A Catholic Health System whistleblower settlement has been reached in a recent False Claims Act lawsuit, amounting to $6 million.
A whistleblower lawsuit was filed against Catholic Health System back in May 2013. The lawsuit was brought by two whistleblowers, senior employees of Continuing Care, a subsidiary of Catholic Health System. The lawsuit alleged that the company submitted false Medicare claims for rehabilitation therapy services over a period of 7 years, between 2007 and 2014.
The Department of Justice took up the lawsuit after it was brought to their attention. “A health care system that is infected with dishonesty is susceptible to one of the worst afflictions known to mankind—human greed,” said acting U.S. Attorney for the Western District of New York James P. Kennedy in a recent statement. “Today’s settlement demonstrates our unwavering commitment to eradicating this cancer from our federal health care programs.”
The two parties recently came to an agreement involving a $6 million Catholic Health System whistleblower settlement amount. Of that $6 million, $990,000 will be split between the two whistleblowers who brought the suit in the first place.
There were non-monetary aspects to the Catholic Health System whistleblower settlement agreement as well. CHS also acquiesced to a 5-year corporate integrity agreement with the U.S. Department of Health and Human Services.
The government alleged that the false claims made by CHS were “unreasonable, not medically necessary and unsupported by medical records.” According to the lawsuit, CHS would provide a higher level of therapy services than patients required, and always at the highest billing category, even when uncalled for.
Agreeing to the Catholic Health System whistleblower settlement does not mean that CHS admits any liability. CHS maintains that the case would have “gone on for years” had it not ended the allegations with its hefty Catholic Health System whistleblower settlement agreement.
Filing a Whistleblower Lawsuit
Many employees choose to come forward as whistleblowers when they become aware of fraud or false claims because they do not feel right about their employer’s actions. A whistleblower lawsuit can be filed while working at the company, but can also be filed after having left the company. Blowing the whistle in this way calls attention to the fraud on behalf of the government.
Though it can be scary for an employee to become a whistleblower on behalf of the government, as they may be worried they will get in trouble or lose their job because of it, a whistleblower is usually given a substantial reward from any settlement money the lawsuit provides. For many who blow the whistle, this can be between 15 and 30 percent of the settlement money.
If you believe that your employer or former employer is participating in fraudulent or illegal behavior against the federal government, such as Medicaid fraud, you may be able to file a whistleblower lawsuit on behalf of the government.
In general, whistleblower and qui tam lawsuits are filed individually by each plaintiff and are not class actions. Whistleblowers can only join this investigation if they are reporting fraud against the government, meaning that the government must be the victim, and that the alleged fraud should be a substantial loss of money.
Do YOU have a legal claim? Fill out the form on this page now for a free, immediate, and confidential case evaluation. The attorneys who work with Top Class Actions will contact you if you qualify to let you know if an individual qui tam lawsuit or whistleblower class action lawsuit is best for you. Hurry — statutes of limitations may apply.
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If you believe that you have witnessed fraud committed against the government, you may have a legal claim. Whistleblowers can only join this investigation if they are reporting fraud against the government, meaning that the government must be the victim, and that the alleged fraud should be a substantial loss of money.
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