Gamma Healthcare Owners Settle $13.6 Million Fine for False Claims Act Violation in Healthcare Fraud Case

Gamma Healthcare’s Owners Resolve Allegations of False Claims Act

Gamma Healthcare and three of its owners have reached a settlement agreement to pay $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.

As part of the 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.

According to Bloomberg Law Automation, which provided an overview of the legal actions taken against Gamma Healthcare and its owners, this information 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.

In conclusion, Gamma Healthcare’s settlement agreement highlights the seriousness of violating healthcare regulations and serves as a warning to other healthcare providers about the potential consequences that can arise if they do not comply with these regulations.

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