A physician whistleblower said that hospital chain, Mercy Health Partners of Southwest Ohio (Mercy), coached hospital executives to deliver false testimony in legal proceedings.

The hospital was accused of alleged fraud against the government by engaging in a kickback scheme with a local radiology center.

Whistleblower Daryl H. asked federal Judge Michael R. Barrett to enter a default judgment against his former employer Millennium Radiology Inc. (MRI) and Mercy.

The whistleblower asserted that two former Mercy executives lied in their testimony when they said that the agreement they had for radiology services was for fair market value and was not part of an illegal kickback scheme.

The recent memorandum requesting default judgment said that the two executives’ “combined perjury testimony can only lead this Court to conclude that Mercy has conspired with the highest executives in its organization to contaminate the legal process with false testimony in order to defraud the Court into ruling in its favor. This must not and cannot be allowed.”

Back in July, whistleblower Daryl requested another motion for default judgment, saying that one of executives’ February testimony was false. This new memorandum and request for default judgment assert that both executives provided false testimony.

In 2011, Daryl originally filed the whistleblower lawsuit against Mercy and MRI alleging they engaged in a kickback scheme. He asserted that the hospital, in collaboration with the radiology center, billed the government for false radiology claims resulting in millions of dollars of fraudulent claims.

According to Daryl, Mercy agreed to provide MRI with patient referrals and Mercy agreed to provide hundreds of thousands of dollars worth of administrative services in return.

The court will review the relator’s (whistleblower’s) request for granting default judgment and may choose to grant or dismiss the motion as the lawsuit continues.

What is a Whistleblower (Qui Tam) Lawsuit?

A whistleblower lawsuit, also known as a qui tam lawsuit, takes place when an individual has witnessed fraud being committed against the government.

This may take the form of medical centers making false billing claims to Medicare, thus making additional money, tax evasion to avoid paying money to the government, or government contractors overcharging the government for work performed, or charging for work that hasn’t been performed, among other types of fraud.

Once a qui tam lawsuit has been filed, the federal government has 60 days to decide if they will join in the lawsuit. If the government joins, there is a higher likelihood the ruling will be in favor of the plaintiff. If the government decides not to join, plaintiffs may continue to pursue litigation on their own.

If the qui tam lawsuit is successful, plaintiffs will receive between 15 and 30 percent of the final settlement. However, you must file a whistleblower lawsuit, as simply informing the government about fraud taking place will not lead to whistleblower compensation via a financial payout.

Protection for Whistleblowers

Whistleblowers, also known as relators, are protected under the False Claims Act. They can choose to hide their identity until the case has reached a resolution.

Under this act, if an employer harasses, demotes or fires a whistleblower, the employee must be paid double back pay, reinstated to their position and reimbursement of any legal fees incurred.

Whitsleblower Lawsuit Information

If you have been a witness to fraud being committed against the government, you may have a legal claim. In a whistleblower lawsuit, you may choose to safeguard your identity until there is resolution on the case. An experienced whistleblower lawyer will review your case at no charge to assist you in understanding your legal options.