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Antitrust
False Claims Act
Anti-Kickback Statute

United States of America; and The States of California, Colorado, Connecticut, Delaware, Florida, Georgia, Hawaii, Illinois, Indiana, Iowa, Louisiana, Maryland, Massachusetts, Michigan, Minnesota, Montana, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Oklahoma, Rhode Island, Tennessee, Texas, Virginia, Washington, Wiscons

Published: Jan. 30, 2016 | Result Date: Jan. 4, 2016 | Filing Date: Jan. 1, 1900 |

Case number: 3:14-cv-01919-LAB-JLB Settlement –  $4,036,620

Court

USDC Southern District of California


Attorneys

Plaintiff

Inayat A. Hemani

Joseph P. Price

Ross B. Brooks

Douglas Keehn

Aashish Y. Desai
(Desai Law Firm PC)

Adrianne De Castro
(Desai Law Firm PC)


Defendant

Robert G. Marasco
(Dinsmore & Shohl LLP)


Facts

The federal government, joined by several states, including California, filed a complaint against a San Diego-based medical diagnostics laboratory, Pathway Genomics Corp., for allegedly paying kickbacks to doctors. Pathway employee Monique Gipson initiated the whistleblower action.

Contentions

PLAINTIFFS' CONTENTIONS:
Plaintiff accused defendants of paying doctors kickbacks for referring patients to the facility for genetic testing, in violation of the False Claims Act, the Anti-Kickback Statute, and various state laws.

Result

Pathway agreed to settle the matter for $4 million. Whistleblower Gipson will receive $686,225 of the settlement amount.

Other Information

FILING DATE: Aug. 26, 2014.


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