Lab CEO, Physicians, Marketers Pay $6M to Settle Kickback Allegations

Settlement resolves False Claims Act litigation alleging illegal payments disguised as management service organization distributions.

The Department of Justice announced more than $6 million in settlements to resolve allegations that a laboratory CEO, physicians, and marketers violated the Anti-Kickback Statute by making illegal payments for laboratory referrals.

Christopher Grottenthaler, former CEO of True Health Diagnostics LLC in Frisco, Texas, agreed to pay $4.25 million to settle allegations that he facilitated kickback schemes from January 2015 to May 2018. Two physicians and seven marketers agreed to pay an additional $1.8 million…

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