A former chief financial officer for Northern Arizona Healthcare Corp. adequately alleged that the company’s overpayment to acquire a surgery and rehabilitation services center constituted a kickback in violation of the False Claims Act, a federal court said.
Whistleblower Gregory Kuzma sufficiently claimed that NAHC made an unlawful kickback because it knew the true value of Summit Surgery and Recovery Care Center Inc. was between $8 and $10 million, but paid $25 million to induce Summit to provide future business and reward it for past business, Judge David G. Campbell of the U.S. District Court for the District of Arizona...