I get lots of call from healthcare providers asking about whistleblower cases. On a local note, a recent Maryland case resulted in $35 million False Claims Act deal with MedStar Health Inc., specifically MedStar Union Memorial Hospital and MedStar Franklin Square Medical Center, both in Baltimore.
MedStar allegedly funneled kickbacks to cardiology group Midatlantic Cardiovascular Associates PA for referrals of Medicare patients who received lucrative cardiovascular procedures. Three whistleblower physicians who had been affiliated with Cardiac Surgery Associates, also in Baltimore, filed an FCA case. The same whistleblowers had previously secured a $22 million settlement with St. Joseph Medical Center in Towson, Maryland in a case also related to alleged kickbacks to Midatlantic Cardiovascular Associates. The DOJ said kickbacks were paid under the guise of professional services agreements. According to a settlement agreement, the whistleblowers will get a reward of nearly $5.2 million.
The same settlement also resolved allegations in a separate FCA case filed by other whistleblower patients who accused MedStar, Union Memorial and a doctor of performing medically unnecessary angioplasty procedures. According to an agreement, the patients were awarded $420,000.
MedStar reportedly denied any wrongdoing.