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Lab Settles Allegations of False Medicare, Medicaid Claims for $815K

NEW YORK (360Dx) – Dominion Diagnostics has paid a total of $815,000 to settle civil claims that it violated the federal False Claims Act, the US Attorney's Office for the District of Vermont announced last week.

The medical laboratory paid the settlement to the US and Vermont to resolve claims that it knowingly presented, or caused to be presented, false claims for Medicare and Medicaid payments, the AG's office said, adding the $815,000 will be divided between the federal Medicare, federal Medicaid, and Vermont Medicaid programs.

The US and Vermont ­– where Dominion has an office and does business – had alleged that between Jan. 1, 2010 through Dec. 23, 2015, Dominion presented claims to Medicare and Vermont Medicaid for urine specimen validity testing although referring doctors had not specifically ordered such tests. Vermont also alleged that Dominion had charged a new usual and customary rate for certain claims and "impermissibly gave that rate retroactive application on claims submitted to the Vermont Medicaid program."

According to the AG's office, the settlement is not an admission of guilt by Dominion. The North Kingston, Rhode Island-based lab provides drug monitoring solutions and actionable clinical information "to improve patient care and treatment outcomes in addiction medicine and chronic pain management," according to its website.