Sen. Committee Ups Health Care Fraud Penalties

Law360, New York (July 14, 2009, 12:00 AM EDT) -- In the wake of the drug industry average wholesale price scandal, a U.S. Senate committee has approved an amendment that would authorize double the current penalties under the False Claims Act for fraudulently billing new health exchanges created by the Affordable Health Choice Act.

Under the bill, approved 23-0 Monday by the Senate Committee on Health, Education, Labor and Pensions, convicted companies would face fines of up to six times the amount of the fraud, according to a statement from the office of Sen. Bernie Sanders,...
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