The Daily Scan

May 30, 2018

Last Updated: 9:10 AM EST

Litigation

  • The DOJ announced yesterday that on May 23, the United States District Court in the District of South Carolina entered judgment for the United States in the amounts of $111,109,655.30 against defendants LaTonya Mallory, Floyd Calhoun Dent III and Robert Bradford Johnson, and for an additional $3,039,006.56 against Johnson and Dent. The judgment follows the January 31, 2018, jury verdict finding the three individuals liable for violating the False Claims Act by paying remuneration to physicians in exchange for patient referrals, in violation of the Anti-Kickback Statute, and causing two laboratories to bill federal health care programs for medically unnecessary testing. (Justice.gov)

 

  • Yesterday, Nevada Attorney General Adam Paul Laxalt announced that We Care Behavioral Health Agency, LLC, based out of Las Vegas, was convicted for Medicaid fraud. Eighth Judicial District Court Judge Jennifer Togliatti sentenced the business on a gross misdemeanor charge of Intentional Failure to Maintain Adequate Records, and placed it on probation for three years. As part of the sentence, We Care was ordered to pay $1,080,082.49 in restitution. (AG.NV.gov)

Legislation

  • U.S. Senator Bill Cassidy, M.D. (R-LA), a member of the Senate health and finance committees, released a statement and white paper yesterday containing new ideas to improve the U.S. health care system and lower costs for families and patients. (Cassidy.Senate.gov)

 

  • Maureen Dixon, Special Agent in Charge at the Philadelphia Regional Office Office of Investigations of the Office of Inspector General, Department of Health and Human Services testified yesterday before the United States Senate Committee on Finance Health Care Subcommittee on how the OIG is combating the opioid crisis in Federal health care programs. (OIG.HHS.gov)

 

  • U.S. Senator Jeff Merkley (D-OR) yesterday was joined by local health care providers in Oregon in pushing for the Choose Medicare Act, legislation authored by Merkley. The new plan, Medicare Part E, would be self-sustaining and fully paid for by premiums. (Merkley.Senate.gov: Press Release, Full Text of Bill)

Regulation

  • Allergan issued a voluntary recall yesterday of one lot of TAYTULLA® physicians sample packs, indicated for use by women to prevent pregnancy. Allergan recently identified, through a physician report, that four placebo capsules were placed out of order in a sample pack of TAYTULLA. Specifically, the first four days of therapy had four non-hormonal placebo capsules instead of active capsules. (Allergan.com)

Private Sector

  • The New York Times published an in-depth report yesterday claiming that "a confidential Justice Department report shows that federal prosecutors investigating the company found that Purdue Pharma knew about “significant” abuse of OxyContin in the first years after the drug’s introduction in 1996 and concealed that information." (NYTimes.com)

 

  • Wellcare Health Plans announced yesterday that it has entered into a definitive agreement to acquire Meridian Health Plan of Michigan, Inc., Meridian Health Plan of Illinois, Inc., and MeridianRx, a pharmacy benefit manager for $2.5 billion in cash. The transaction is expected to close by the end of 2018 and will enable Wellcare to diversify its Medicaid portfolio through the addition of Michigan, where Meridian has the No. 1 Medicaid market position; deepen its Medicaid business in Illinois; and acquire an integrated PBM platform. (Wellcare.com)

 

 

 

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