Vibrant America Must Face Whistleblower’s Blood Test Fraud Suit

Aug. 20, 2020, 4:16 PM UTC

A whistleblower adequately alleged that California laboratory Vibrant America LLC defrauded Medicare by engaging in a kickback scheme for blood testing that violated the False Claims Act, a California federal court said.

Whistleblower STF LLC sufficiently described an unlawful scheme under which Vibrant allegedly paid cash to physicians’ family members in exchange for the physicians ordering tests through Vibrant, Chief Magistrate Judge Joseph C. Spero of the U.S. District Court for the Northern District of California said in a Wednesday order partially denying a motion to dismiss.

The complaint includes detailed allegations, including how Vibrant communicated with physicians to set ...

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