Medical laboratory Dianon Systems, Stratford, Conn., will pay $4.8 million to resolve a civil False Claims Act lawsuit alleging it charged Medicare for unnecessary procedures and investigational tests. The whistleblower, Theresa Worner, M.D., who was working as a claims reviewer for a self-insured company when she filed the lawsuit in Hartford, Conn., will receive $535,569 of the settlement. Dianon denied wrongdoing but said a settlement was in the company's and its shareholders' best interests. The company, which specializes in cancer tests, also signed a corporate integrity agreement that expires in 2006. This is the second time Worner has benefited from the settlement of a False Claims Act lawsuit she filed. In 2001, she received $690,000 of a $9 million settlement by UroCor, Oklahoma City, which conducts tests to detect bladder and prostate cancer. -- by Mark Taylor
Specialty laboratory settles false claims suit
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