Healthpoint Stuck In $90M Medicaid Fraud Suit

Law360, New York (March 26, 2012, 4:39 PM EDT) -- A Massachusetts federal judge on Monday tossed Healthpoint Ltd.’s motion to dismiss charges brought by the U.S. Department of Justice claiming it caused Medicaid to pay $90 million in claims for bedsore ointment Xenaderm despite the drug’s ineligibility for coverage.

Healthpoint had argued that the government has failed to show the company knew it was doing anything wrong, that notices withdrawing U.S. Food and Drug Administration for similar drugs did not apply to Xenaderm and that the government has failed to adequately plead its charges of...
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