Gamma Healthcare Owners Face $13.6 Million Settlement and 15-Year Exclusion from Federal Healthcare Programs for False Claims Act Violation

Gamma Healthcare’s Owners Resolve Allegations of False Claims Act

Gamma Healthcare and three of its owners have agreed to a settlement of $13.6 million to settle allegations of violating the False Claims Act, as announced by the Justice Department. The allegations state that they submitted claims to Medicare for polymerase chain reaction urinalysis laboratory tests that were not ordered by healthcare providers and were deemed medically unnecessary.

In addition to the monetary settlement, Gamma Healthcare owners Jerry W. Murphy and Jerrod W. Murphy have agreed to a 15-year exclusion from participating in federal health care programs. This means they will be prohibited from receiving payments or benefits from these programs for the specified duration. The Justice Department emphasized the importance of ensuring compliance with healthcare regulations to protect the integrity of government healthcare programs.

This information was reported by Bloomberg Law Automation, providing an overview of the legal actions taken against Gamma Healthcare and its owners. It serves as a reminder of the consequences that can result from healthcare fraud and the importance of adhering to regulations to maintain the trust and efficiency of healthcare systems.

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