Running a lab test fraud scheme can be very lucrative for those involved, but it comes at the expense of taxpayers and government healthcare programs such as Medicare and Medicaid. Recently, the owner of several diagnostic laboratory facilities was indicted by a grand jury for healthcare fraud in a scheme that resulted in $100 million in false billing claims for urine drug testing, COVID-19 testing, and other lab services.

According to the Department of Justice, the laboratory owner spent more than four years ordering tests that were not medically necessary or requested by a doctor. The lab owner allegedly submitted more than $100 million in fraudulent claims to Medicare by obtaining the personal information of Medicare beneficiaries and repeatedly submitting claims to Medicare for lab tests that were not ordered by a healthcare provider. The laboratory owner allegedly used the fraudulently obtained funds to buy real estate, jewelry, several luxury cars including a Rolls Royce Wraith, and other luxury items. He now faces up to 160 years in prison.

Medicare is funded by taxpayers. It provides healthcare for more than 60 million elderly people and persons with disabilities. Unfortunately, some healthcare providers see Medicare as a cash cow that can be used to fund their lavish lifestyles, and there have been many similar cases of lab test fraud. When fraudulent claims are submitted to Medicare, taxpayers are left paying the bill.

How You Can Help Stop Lab Test Fraud

Do you have information about a lab test fraud scheme? Do you know someone who is ordering medically unnecessary tests? Or do you know someone who is being offered kickbacks to order lab tests? You may qualify to be a whistleblower and earn a substantial reward for coming forward with evidence of these types of schemes. Whistleblowers in these cases are often lab employees, healthcare providers, or telemedicine employees. If you have evidence that a person or company is committing lab test fraud, you should contact an experienced whistleblower attorney to learn more about your rights and protections.

Contact Baron & Budd

With more than 30 years of experience, the attorneys on Baron & Budd’s whistleblower representation team have represented dozens of clients in government fraud cases returning over $5.4 billion to federal and state agencies, with whistleblower recovery shares as high as 49%. They are ready to help if you have evidence of lab test fraud.

Please call (866) 845-2164 or complete our contact form if you would like more information. For more information, see What You Need to Know About Becoming a Whistleblower. Please understand that contacting us does not mean that you have established an attorney-client relationship with Baron & Budd, P.C.