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Question of the Week — Will Healthcare Settlements Continue to Dominate False Claims Act Recoveries?

Posted  July 24, 2019

Recent blockbuster settlements continue past trends: healthcare fraud has so far this year dominated FCA recoveries. During the first half of 2019, the Department of Justice (“DOJ”) secured over $750 million in settlements from False Claims Act (“FCA”) cases. And just past the mid-year point, total recoveries have nearly doubled due to a $700 million civil settlement ($1.4 billion total) entered on July 11th with opioid giant Reckitt Benckiser Group. Notable 2019 FCA settlements in the healthcare and pharmaceutical space include:

Whistleblowers have been key to government efforts to hold fraudsters accountable for fraud and wrongdoing in the healthcare realm. In three of the four large settlements listed above, the lawsuits originated from claims brought to light by at least one whistleblower. Whistleblowers who bring FCA suits likewise shine a critically important light on fraud in areas other than healthcare — think procurement, grant programs, housing and mortgage, and even customs and tariffs — however, mid-year updates and year-end reports focused on the government’s FCA recoveries continually find that healthcare settlements make up the vast majority of total recoveries.

What do you think? Will healthcare settlements continue to dominate False Claims Act recoveries?

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Tagged in: FCA Federal, Government Programs Fraud, Healthcare Fraud, Housing and Mortgage Fraud, Pharma Fraud,