1st Circ. Revives Blackstone FCA Kickback Case

Law360, New York (June 1, 2011, 7:13 PM EDT) -- The First Circuit on Wednesday revived a False Claims Act suit against Blackstone Medical Inc. over alleged kickbacks to surgeons, finding the scheme could have influenced the government's decision to pay hospital and doctor claims.

The decision is a win for the U.S., which urged the appeals court to bring back the suit, arguing that any claim sent to Medicare for medical procedures induced by kickbacks were automatically false. The First Circuit's ruling overturns a federal district court's decision to dismiss the case when it ruled...
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