US Oncology Stops Whistleblower’s Bid to Revive Medicare Suit

A New York federal district court properly dismissed a whistleblower’s False Claims Act suit alleging Medicare fraud by US Oncology, the Second Circuit affirmed Tuesday.

Whistleblower Omni Healthcare Inc.'s suit is precluded by the FCA’s public disclosure bar, and Omni didn’t satisfy the original source exception to the bar, the US Court of Appeals for the Second Circuit said in a nonprecedential summary order.

The public disclosure bar prohibits whistleblower actions that allege misconduct already disclosed to the public where no statutory exception applies, the appeals court said.

Omni sued in 2019, alleging that US Oncology harvested the overfill of ...