A settlement has been reached in a whistleblower class action lawsuit brought against Nextcare Inc who is accused of submitting false claims to Medicare, TRICARE and the Federal Employees Health Benefits Program, as well as the Medicaid programs for various different states.
The whistleblower will receive a $1.614 million share of the government's recovery.
The government's complait stems from a whistleblower lawsuit filed in December 2009 that alleged that NextCare submitted false claims to Medicare, TRICARE and the Federal Employees Health Benefits Program, as well as the Medicaid programs of Colorado, Virginia, Texas, North Carolina and Arizona, by billing for unnecessary allergy, H1N1 virus and respiratory panel testing. The United States also alleged that NextCare inflated billings for urgent care medical services in the years under review, a practice known as upcoding.