New York Paralegal Blog

Global Health Care Company Abbott Laboratories Inc. has pleaded guilty and agreed to pay $1.5 billion to resolve its criminal and civil liability arising from the company’s unlawful promotion of the prescription drug Depakote for uses not approved as safe and effective by the Food and Drug Administration (FDA), the Justice Department announced today.

WASHINGTON—Miami-area resident Farah Maria Perez, a registered nurse, pleaded guilty today for her participation in a $25 million Medicare fraud scheme involving false billings for home health services, announced the Department of Justice, the FBI and the Department of Health and Human Services (HHS).

WASHINGTON – The Justice Department announced today that it has filed a stipulated order of dismissal to resolve its lawsuit concerning conditions of confinement at the Erie County Holding Center (ECHC), a pre-trial detention center in Buffalo, N.Y., and the Erie County Correctional Facility (ECCF), a correctional facility in Alden, N.Y.

Director of Spiritual Care Terminated Black Female Employee While Giving Progressive Discipline to White Males, Federal Agency Says MILWAUKEE - Aurora Health Care, a not for profit health care provider operating facilities in eastern Wisconsin and northern Illinois, violated the law when it failed to meaningfully investigate an employee’s claims of harassment and race discrimination, retaliated against the employee for using the company’s internal complaint system, and ultimately fired the employee after she filed a charge of discrimination, the U.S. Equal Employment Opportunity Commission (EEOC) charged in a lawsuit filed today.

BALTIMORE – Johns Hopkins Home Care Group, Inc. (JHHCG), a full-service home health care provider, violated federal law when it fired an employee because of her disability and because she challenged the company’s failure to accommodate her, the U.S. Equal Employment Opportunity Commission (EEOC) charged in a lawsuit it announced today.

WASHINGTON – A Miami-area resident who was an owner and vice-president of a fraudulent physical therapy company in Lakeland, Fla., pleaded guilty on 5/27/2011 for his role in a scheme to defraud Medicare, the Departments of Justice and Health and Human Services (HHS) announced.    Andres Cespedes, 44, pleaded guilty before U.S. Magistrate Judge Mark A. Pizzo in Tampa to one count of conspiracy to commit health care fraud.   According to court documents, Cespedes was the vice-president of Dynamic Therapy Inc.  Cespedes and his co-conspirators purchased Dynamic from its prior owners, and transformed it into a fraudulent enterprise.   Dynamic purported to provide physical therapy services to Medicare beneficiaries, but in reality obtained patient information through kickbacks and bribes, and billed Medicare for physical therapy that never occurred.    According to court documents, from fall 2009 to summer 2010, Cespedes submitted and cau...

WASHINGTON – Two Miami-area medical assistants and a physician assistant were sentenced to prison today for their roles in a $23 million Medicare fraud scheme involving HIV infusion therapy, announced the Departments of Justice and Health and Human Services. Jose Diaz, a 62-year old physician assistant, Lisandra Aguilera, a 40-year old medical assistant, and Estrella Rodriguez, a 43-year old medical assistant, were sentenced by U.S. District Judge Joan A. Lenard to 54 months, 70 months and 57 months in prison, respectively. The defendants each previously pleaded guilty to one count of conspiracy to commit health care fraud for their roles in an HIV infusion fraud scheme. According to court documents, Diaz, Aguilera and Rodriguez each worked at Metro Med of Hialeah Corp. (Metro Med). In 2003, Metro Med began operating as an HIV infusion clinic that purportedly provided injection and infusion therapies to HIV positive Medicare beneficiaries. In fact, the injection and infusion t...

WASHINGTON – Two Miami-area residents and owners of a mental health care corporation, American Therapeutic Corporation (ATC), pleaded guilty today in U.S. District Court in Miami for orchestrating a fraud scheme that resulted in the submission of more than $200 million in fraudulent claims to Medicare, the Departments of Justice and Health and Human Services (HHS) announced. Lawrence S. Duran, 49, and Marianella Valera, 40, pleaded guilty at an arraignment hearing before Magistrate Judge Barry L. Garber to all counts charged in a superseding indictment, which was unsealed on Feb. 15, 2011. The superseding indictment charges Duran with 38 felony counts and Valera with 21 felony counts, including conspiracy to commit health care fraud, health care fraud, conspiracy to pay and receive illegal health care kickbacks, conspiracy to commit money laundering, money laundering and structuring to avoid reporting requirements. The court must hold a hearing scheduled for a later date to accep...

Department Says United Regional’s Contracts Unlawfully Maintain Monopoly Power WASHINGTON – The Department of Justice announced today that it has reached a settlement with United Regional Health Care System of Wichita Falls, Texas, that prohibits it from entering into contracts that improperly inhibit commercial health insurers from contracting with United Regional’s competitors. The department said that United Regional unlawfully used these contracts to maintain its monopoly for hospital services in violation of Section 2 of the Sherman Act, causing consumers to pay higher prices for health care services. This is the first case brought by the department since 1999 that challenges a monopolist with engaging in traditional anticompetitive unilateral conduct.

New York state to receive nearly $66 million as part of multi-state/federal settlement with Pfizer NEW YORK, N.Y. (September 2, 2009) - Attorney General Andrew M. Cuomo today announced that New York, six other states and the federal government have negotiated the largest health care fraud settlement in history concerning allegations that pharmaceutical giant Pfizer, Inc. provided kickbacks and engaged in off-labeling marketing campaigns to illegally promote its drugs. Pfizer (NYSE: PFE), the largest pharmaceutical manufacturer in the world, illegally engaged in a pattern of marketing activities to promote multiple drugs for uses not approved by the Food and Drug Administration (FDA). Pfizer also paid kickbacks to health care professionals in the forms of entertainment, cash, travel and meals to induce them to promote and prescribe various drugs, including: Bextra, Geodon, Lyrica, Zyvox, Aricept, Celebrex, Lipitor, Norvasc, Relpax, Viagra, Zithromax, Zoloft and Zyrtec.