Life Sciences

DOJ recovers $9.3B in healthcare fraud

Device Regulation Alert: Safety, Compliance and Reimbursement News, September 8, 2008

The Department of Justice (DOJ) recovered at least $9.3 billion in healthcare fraud with help from whistleblowers between 1996 and 2005, according to an Annals of Internal Medicine article.

The authors reviewed 379 cases involving healthcare fraud and found publicly available information for approximately 75% of those cases. The study does not include some of the largest healthcare fraud cases, including the single largest settlement, worth $920 million, which came against Tenet Healthcare Corp., one of the nation’s largest hospital chains, in 2006.

According to the article, the DOJ has pursued fewer claims in recent years, but began recovering higher amounts after it started investigating pharmaceutical manufacturers. Whistleblowers initiate 90% of the DOJ’s healthcare fraud cases and can receive between 15% and 25% of any settlement.

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