Kentucky Drug Test Companies Settle False Claims Act Allegations

VerraLab JA LLC, Blue Waters Assessment and Testing Services, LLC, and its owner have agreed to pay $1,740,620 to resolve allegations that they improperly billed urine drug tests to Medicare and Kentucky Medicaid, the US Attorney’s Office for the Eastern District of Kentucky said in a press statement Tuesday.

VerraLab JA, which does business as BioTap, allegedly billed urine drug tests to Medicare and Kentucky Medicaid despite knowing they were ordered by the Fayette County family courts as part of their court cases and not used for medical diagnosis or treatment.

BioTap has agreed to pay $1,490,620 to resolve the ...