The Attorney General of Georgia announced in early October that it had resolved criminal and civil charges against Tenet Healthcare Inc. based on False Claims Act and Medicare fraud allegations, resulting in a payment of more than $513 million in fines by the healthcare giant, including a $12 million reward that will go to the courageous whistleblower who brought the incriminating information to the government’s attention.

The joint state and federal investigation found that Tenet Healthcare had illegally paid kickbacks to bring in low-income Medicaid patients, and Georgia, South Carolina, and South Carolina will share in the proceeds of the penalties to be paid by the healthcare company. This case is a stellar example of how private citizens can work together with state and federal governments to fight corruption and be handsomely rewarded for their courageous efforts.

Tenet Healthcare’s Illegal Kickback Scheme

According to the findings in the investigation, four of Tenet Healthcare’s hospitals – Atlanta Medical Center, North Fulton Regional Hospital, Spalding Regional Hospital and Hilton Head Hospital – paid kickbacks to an intermediary organization called Hispanic Medical Management to direct low-income pregnant women (many of whom were undocumented immigrants) to their facilities in order to increase the amount of Medicaid billings the hospitals could collect. The hospitals made payments to Hispanic Medical Management for these services which were disguised as payment for other services. The hospitals made hundreds of millions of dollars off of the increased pregnancy-related billings as well as other Medicaid services generated by the kickbacks.

Under the federal Medicare and Medicaid Anti-Kickback Statute, it is illegal to offer, pay, or receive any type of referral payments related to the provision of Medicaid and Medicare services. The whistleblower who brought the information related to the kickbacks to the attention of state and federal authorities did so through bringing a lawsuit under the FCA as well as the Georgia False Medicaid Claims Act, both of which allow private citizens to bring claims on behalf of the government while sharing in the proceeds recovered.

Work with an Experienced Whistleblower Attorney

The decision to come forward with information regarding a large corporation’s illegal and fraudulent acts can be an intimidating one, but working with an experienced whistleblower attorney whose only goal is in furthering your goals can protect your interests while maximizing your compensation. Kreindler & Associates is dedicated exclusively to protecting and helping whistleblowers who make the courageous decision to expose fraud. If you are considering making a whistleblower claim or feel that you’ve been the victim of wrongful retaliation for having done so, contact us today. We’re here to answer all of your questions and guide you through the whistleblowing process.