NM Hospital Beats FCA Suit Over Lab Test Violations

Law360, Chicago (November 26, 2013, 4:41 PM EST) -- A New Mexico federal judge tossed an employee whistleblower suit accusing a Community Health Systems Inc.-owned hospital of improperly receiving Medicare and Medicaid payments for laboratory tests that violated federal standards, finding Thursday the plaintiff had failed to make a viable case under the False Claims Act.

In a 45-page order, U.S. Magistrate Judge William P. Lynch dismissed plaintiff Sally Hansen’s FCA claims — including for violation of the act’s anti-retaliatory provision — with prejudice and declined to take up her associated state law claims, which...
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