Whistleblower Firm Brown, LLC Announces a $22.9 Million False Claims Act Settlement
The case is captioned United States ex rels. Duffield et al.and Harris v. CHC Holdings, LLC, et al., No. CIV-17-826-HE (W.D. Okla.). The whistleblowers alleged that Carter Healthcare, a home-health agency and in-home hospice care provider operating in Oklahoma and seven other states, paid doctors to serve as sham “medical directors” to induce the doctors to refer their Medicare and TRICARE patients. Carter allegedly kept the “medical directors” onboard with various gifts and other perks (meals, OSU football tickets, etc). Such remuneration-for-referrals schemes are illegal under the federal Anti-Kickback Statute and the federal False Claims Act. The settlement resolves these allegations, for which it’s important to note that defendants admit no liability.
The case was brought by two former Carter employees, who will receive substantial whistleblower awards. Former FBI Special Agent Jason T. Brown, who is the head of the firm noted, “This settlement will return a significant amount of taxpayer money to the taxpayers. We applaud our clients’ courage and persistence in stepping forward to bring this case, and we’re proud to work with such public-minded citizens who have the desire to do what’s right.”
