Civil Plaintiff

Drug-Testing Lab Settles Kickback Scheme Allegations for $12M

A Tacoma-based drug-testing laboratory is part of a nearly $12 million federal settlement over an alleged kickback scheme involving urine tests and a physician-owned laboratory in Bellevue.

Cordant Health Solutions, a Denver-based toxicology testing firm with a facility in Tacoma, will pay $11.9 million to settle federal allegations that it funneled illegal kickbacks to Northwest Physicians Laboratories of Bellevue, the U.S. Attorney’s Office in Seattle announced Tuesday.

Northwest Physicians Laboratories, which was owned by several physicians and other investors, treats patients for pain management and often needs urine tests to monitor patients’ use of opioids and other drugs, federal officials said.

Because federal law prohibits physicians from using their own testing labs for their Medicare and other federally insured patients, NWPL was required to contract its testing work to other labs.

Read the source article at The Seattle Times

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