NEW YORK – The US Attorney's Office for the Western District of North Carolina said recently that lab company LabXperior and its owner Tina Ball have paid $235,000 to resolve allegations that they violated the federal and North Carolina False Claims Act.
According to the government, Ball and her company knowingly billed North Carolina Medicaid for urine drug tests that were medically unnecessary.
The government alleges that from Sept. 28, 2016, through Dec. 20, 2017, LabXperior submitted claims to Medicaid for urine drug tests that were ordered as part of an illegal kickback arrangement between LabXperior and BPolloni Consulting, which referred tests to LabXperior in exchange for a percentage of the profits from each test. BPolloni arranged for testing to be referred to LabXperior through a third party, Do It 4 the Hood (DH4). The CEO of BPolloni and individuals who operated DH4 have previously pleaded guilty to conspiracy to commit healthcare fraud and Anti-Kickback Statute violations arising from these activities.
The government also alleges that the tests billed by LabXperior were medically unnecessary because they were not patient specific and did not reflect a medical provider's determination of the patient's need for testing.