Benefits of Blowing the Whistle Under the False Claims Act

Category: Qui Tam, Whistleblower & False Claims

Attorney Patricia Stamler is pleased to announce the resolution of a claim that her clients, Scott Stone and Bethany McKinley, who served as Relators (whistleblowers) in a case brought on behalf of the United States of America against Traverse Anesthesia Associates, P.C. (“TAA”), and six of its anesthesiologists (Defendants). Traverse Anesthesia Associates, P.C. (“TAA”), and six of its anesthesiologists agreed to pay the United States $607,966 to resolve allegations, under the federal False Claims Act.  The Complaint alleged that Defendants falsely submitted certain anesthesia claims to Medicare. TAA is a medical professional corporation that provides anesthesiology and pain management services at a number of hospitals and outpatient sites in the Traverse City region. The United States specifically contended that, for certain claims billed as medically directed anesthesia services, TAA and its anesthesiologists did not meet the regulatory requirements of TEFRA and conditions of payment for billing those services as medically directed. The settlement resulted from a civil lawsuit filed by two whistleblowers who previously worked as employees at TAA. The lawsuit, known as a qui tam action, was filed under the False Claims Act, which allows private whistleblowers to bring lawsuits on behalf of the United States and receive a share of any recoveries. In this case, the Government partially intervened in the Mr. Stone and Mrs. McKinley’s lawsuit. The whistleblowers will collectively receive over $120,000 of the settlement proceeds. The qui tam case is docketed as United States, et al. ex rel. Stone, et al., v. Traverse Anesthesia Associates, P.C., et al., No. 1:18-cv-1416 (W.D. Mich.).  The claims resolved by the settlement are allegations only. There has been no determination of liability.


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