Pa. Hospital Network Bests Medicare Fraud Suit In 3rd Circ.

Law360, New York (August 1, 2012, 8:58 PM EDT) -- The Third Circuit on Wednesday tossed a False Claims Act suit accusing Pennsylvania hospital network Guthrie Healthcare Systems Inc. of Medicare and Medicaid fraud, affirming that the whistleblower case brought by a former Guthrie employee was based on previously known information.

Former Guthrie general counsel Rodney Repko filed the qui tam suit in 2004, alleging the company illegally paid a subsidiary millions of dollars to generate referrals that were later reimbursed by the federal government.

A district court tossed the case in September, ruling the suit...
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