28 Million is a large sum of money to pay for no wrong doing? Whistleblowers and Algorithms are still two of the hottest words today in healthcare. Just from reading the article here it seems they were pretty anxious to get new enrollees in exchange for money supplied to the physicians in relationship to enrolling patients in the diabetes program, something individuals I am thinking would want to do on their own if needing information and resources on the subject. BD
Healthways will pay $40 million related to a settlement agreement over alleged illegal physician payments at a subsidiary. The whistle-blower lawsuit was filed in 1994 by a former employee on behalf of the federal government.
The lawsuit alleged that the company's Diabetes Treatment Centers of America, or DTCA, illegally paid physicians in exchange for patient referrals. Franklin, Tenn.-based Healthways, a disease management and wellness company, admitted no wrongdoing in the settlement and said it has agreed to pay $28 million to the federal government and incur another $12 million for related costs and services.