Two whistleblowers assert that the US Court of Appeals for the Seventh Circuit erred by ruling that SuperValu didn’t knowingly misreport the usual and customary prices it charged, which caused Medicare and Medicaid to overpay.
The Seventh Circuit’s conclusion that the whistleblowers couldn’t establish scienter because SuperValu’s pricing approach wasn’t unreasonable—and no contrary authoritative guidance existed at the relevant time—accords with the FCA’s text, SuperValu said in its opposition to the whistleblowers’ petition. ...