Calif. Wades Into Sutter Health Insurance Fraud Suit

Law360, New York (April 13, 2011, 6:40 PM EDT) -- California's insurance commissioner said Wednesday he is intervening in a whistleblower suit filed under state law that alleges hospital operator Sutter Health fraudulently overcharged private insurers for anesthesia services.

Commissioner Dave Jones filed the motion to intervene in the Superior Court of the State of California, County of Sacramento. The case was initially filed under seal as a qui tam suit by Rockville Recovery Associates Ltd., which had been hired by a private insurer to investigate fraudulent medical bills.

The commissioner said Sutter Health's overcharges to...
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