Gamma Healthcare, owners to pay $13.6M in DOJ false claims case
By 
Jeff Dale2024-03-28T21:11:00
A Missouri-based healthcare laboratory and three of its owners agreed to pay approximately $13.6 million to settle charges levied by the Department of Justice (DOJ) of violating the False Claims Act by improperly billing Medicare for tests that were not ordered or medically necessary.
Gamma Healthcare and the owners, Jerry Murphy, Jerrod Murphy, and Joel Murphy, agreed to pay the civil penalty, while the company, Jerry Murphy, and Jerrod Murphy also agreed to a 15-year ban from participating in federal healthcare programs, the DOJ announced in a press release Wednesday.
The settlement resolves claims brought under the qui tam provisions of the False Claims Act by Bradley Bibb, a physician whose clinics provided services to patients for whom Gamma performed laboratory tests. Bibb will receive about $2.3 million from the settlement.
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