Texas Says Xerox Whistleblowers Unhelpful in $236 Million Win

Three whistleblowers should collect nothing from Texas’ $236 million Medicaid fraud settlement with Xerox because information they provided was previously known to investigators, a lawyer for the state argued to an appeals court Thursday.

Trying to claw back the $48 million cut awarded by a trial court, Brian VanderZanden of the state attorney general’s office said information disclosing Xerox’s failures to confirm Medicaid eligibility in orthodontics services was already made public in news reports and a legislative hearing.

Plus, VanderZanden argued, even if the whistleblowers did provide useful information, only the one who filed the first lawsuit would be entitled ...