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Caitlin Nordahl | Jul 13, 2017

Center wants doctors to come forward about lab kickback schemes

Following a recent case that resulted in a $6 million settlement, the Corporate Whistleblower Center is calling on physicians to uncover schemes involving blood testing labs that are paying doctors to order unnecessary tests.

"What we are talking about are kickback schemes where the doctor orders medically unnecessary blood work from a lab and the lab essentially pays the doctor a fee,” the center said in a release. “Frequently these tests are superexpensive and incredibly profitable for the testing lab."

In similar schemes, the testing laboratory might also pay kickbacks to physicians and patients – in the form of process and handling fees and waived co-payments – to choose their services over those of other laboratories.

The center is also calling on physicians to be vigilant about other schemes, like pharmaceutical companies compensating doctors for overprescribing drugs and hospitals compensating physicians for referrals. The group is focused on optimizing the settlement for whistle-blowers.

"Major whistle-blowers frequently go to the government thinking they will help. It's a huge mistake,” the center release said. “Do not go to the news media with your whistle-blower information. Public revelation of a whistle-blower's information could destroy any prospect for a reward. …Come to us first, tell us what type of information you have, and if we think it's sufficient, we will help find the right law firms to assist in advancing your information."

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