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Agendia Pays $8.25M In FCA Suit Over Delayed Cancer Tests

Tiomkin Law Offices of Elliott Tiomkin > Legal News  > Agendia Pays $8.25M In FCA Suit Over Delayed Cancer Tests

Agendia Pays $8.25M In FCA Suit Over Delayed Cancer Tests

Law360 (July 1, 2020, 10:22 PM EDT) — The California molecular diagnostics testing company Agendia agreed Wednesday to pay the U.S. Department of Justice $8.25 million to settle a whistleblower’s False Claims Act lawsuit alleging that it intentionally delayed breast cancer screening tests as part of a nationwide, multiyear Medicare billing fraud scheme.

The agreement settles a 2015 whistleblower suit by Cindy Flick, a former employee of Mercy Health NFP, which does business as Lourdes Hospital, alleging that her employer and Agendia Inc. circumvented Medicare’s 14-day rule.

The rule prohibits laboratories from separately billing Medicare for tests performed on specimens ordered within 14 days of a patient’s hospital discharge,…

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