Mayo Clinic Agrees To Settle FCA Claims For $1.26 Million

On August 2, 2012, the Mayo Clinic and three related Mayo entities agreed to settle the False Claims Act suit which was filed in the U.S. District Court for the District of Minnesota.  The suit was brought under the Qui Tam provision of the False Claims Act and alleged that Mayo submitted false claims for payment to the government, which included Medicaid and Medicare programs for surgical pathology services that Mayo did not provide at laboratories in Rochester, Minnesota.  The suit was filed in 2007 by Dr. David Katroser, a physician and attorney, who will share in the recovery of the settlement amount.

More specifically, the suit alleged that Mayo billed Medicaid, Medicare, and other health programs for the preparation examination of human tissue slides, which were never made or examined by Mayo.  As a result, the U.S. government will receive a total of $1,263,000 of which $229,822 will be paid to the whistleblowers, including Dr. Katroser, who participated in the case.  Additionally, Mayo will pay the attorneys’ fees and legal expenses for the whistleblowers.

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