A settlement has been reached to resolve False Claims Act allegations against Lincare.
The allegations arose from a lawsuit that claimed Linde AG's Lincare unit fraudulently billed the U.S. government for oxygen and respiratory care equipment.
According to the government, Lincare allegedly billed government health programs, including Medicare, since 2003 for oxygen equipment and tanks even when the customers did not use or require them, fabricated customer oxygen orders and improperly waived customer co-payments and deductibles.
Furthermore, allegedly the company paid kickbacks to physicians and their families for patient referrals and supplying them with oxygen and supplies for free.
Reportedly, the case was filed by former employees, which began as two separate lawsuits, one filed in 2009 by two former Lincare employees, SallyJo Robins and Kathleen Dunlap, and another in 2010 by Germano Lima and Roberto Rabassa.
As part of the settlement, the US government will receive $9 million and the former employees will receive $11 million.
