Medical Supply Co. Settles False Claims Suit For $5M

Law360, New York (December 7, 2011, 10:52 PM EST) -- California medical supply company Shield Healthcare Inc. has reached a $5 million settlement with the federal government in a whistleblower lawsuit alleging it submitted false claims to the state's Medicaid program, Medi-Cal, the U.S. attorney's office in Los Angeles announced Wednesday.

U.S. District Judge David O. Carter unsealed the case Wednesday, the U.S. attorney's office said. Shield paid the settlement amount Nov. 17, and the case was dismissed Nov. 22.

The Santa Clarita-based company, the largest supplier of adult diapers, waterproof sheeting and other incontinence supplies...
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