$48.5 million fine is slammed on two U.S. companies for conducting unnecessary medical test in affinity with doctors that refer patients to them for commission.
The companies are Singulex Inc. and Health Diagnostics and laboratory Inc. or HDL, theses are cardiovascular disease screening laboratories.
The companies are not publicly stated liability or guilty within the lawsuits against them and nothing is proves yet these settlements are in response to allegations.
The companies are accused of working with Blue Wave Healthcare consultants to offer further incentives to the doctors, for recommending unnecessary tests.
HDL is finned with hefty $47 million and Singulex is finned with $1.5 million.
Both the companies have been charged under False Claims Act said the United States Department of Justice on Thursday.
False Claims Act is charged because the Companies have asked doctors to recommended unnecessary lab test to patients so they can get $10 to $17 as kickbacks from them. Companies have billed several healthcare programs which includes Medicare for these useless tests.
Both the companies have agreed to sign separate agreements to drop all unethical practices and offer transparent services that will be governed by constant professional review with the Department of Health and Human Services' Offices of Inspector General.
On behalf of the federal government four whistleblowers that are empowered under the False Claims Work brought legal action against HDL and Singulex. These whistleblowers look forward to being paid some share of proceeds obtained within the erring companies. The Department of Justice said they have no determined their payments yet.
Since 2009, the Department of Justice has recovered $23.9 billion from the unethical companies charged under the False Claims Acts.
Source : http://news.google.com/news/url?sa=t&fd=R&ct2=us&usg=AFQjCNFubDoHH9B5pxp_GwHfbJBshTMTFg&clid=c3a7d30bb8a4878e06b80cf16b898331&cid=52778799774403&ei=zQoqVZCpNsS43QHHlYHYBQ&url=http://www.thesilverink.com/two-us-labs-agreed-to-pay-48-5-million-to-settle-unnecessary-testing-claims/22114/