by Bhavesh Jinadra by CNB
Roanoke Times Copyright (c) 1995, Landmark Communications, Inc. DATE: TUESDAY, January 12, 1993 TAG: 9301120078 SECTION: VIRGINIA PAGE: B4 EDITION: NEW RIVER VALLEY SOURCE: DATELINE: RICHMOND LENGTH: Short
VA. MEDICAID AGENCY GETS PART OF SETTLEMENT
The agency that operates Virginia's Medicaid program has received $308,308 as its share of a nationwide settlement against one of the country's largest clinical laboratory companies, Attorney General Mary Sue Terry said Monday.The company, National Health Laboratories Inc., of La Jolla, Calif., pleaded guilty to a felony last month in federal court in California to crimes involving false claims submitted to the CHAMPUS and Medicaid programs.
The company was targeted for a practice known as bundling. That's when several groups of blood tests are grouped together for billing - whether or not all the tests were medically necessary or requested.
As part of a settlement, the company agreed to pay back about $110 million to government-run insurance programs across the country. In Virginia, the money was returned Monday to the Department of Medical Assistance Services, which operates the state's Medicaid program, Terry said. - Associated Press