The Source for Whistleblowers, Journalists, Legislators & Academics

Losing Opportunities to Recover Money for Worker Health and Welfare Funds

In settling False Claims Cases involving pharmaceutical industry misbranding and kickbacks, are State Attorney Generals leaving money on the table? The answer is maybe.

Most FCA settlements compensate for lost Medicaid and Medicare dollars. Left out of the mix are losses incurred by state and municipal health and welfare funds. Undoubtedly the money left on the table is not insignificant.

Why does this occur? One reason is that most state AG’s assign investigation of pharma fraud to Medicaid Fraud Control units. And larger investigations are coordinated among state AG’s through the National Association of Medicaid Fraud Control Units (NAMFCU). The result seems to be that no one is watching out for the interests of  public employee health and welfare funds at the state and federal level.

With public employee health and welfare funds strapped for cash and looking to meet rising drug costs, the oversight is not immaterial. It is an oversight that should raise questions from health and welfare fund trustees. Public employee unions which bargain for dollars to fund healthcare costs should pay particular attention. Where a municipal fund needs cash to make ends meet, the shortfall generally means that workers will get the short end of the stick when it comes time to negotiating a new labor agreement.

Related posts

The Art of Advocacy

Judges are now insisting that plaintiffs make their case with facts instead of merely...

A Tale of Two Cases

The SEC needs more transparency The SEC needs to begin identifying those receiving bounties...

Benchmarking Law Schools

How should law schools be judged? Reuben Guttman questions the current law school rankings...

A Global Epicentre

Our man at the IBA, Reuben Guttman, is most impressed by a law professor...

Doing the right thing

Are global corporations under just a moral obligation rather than a legal duty to...

Professional melting pot

The International Bar Association has a well-deserved reputation for partying hard at its annual...

Puckering Up

“Whether to blow or not to blow – that intriguing issue triggered heated debate...

“Backing Barack”

The US President wins some heavyweight economic support as Reuben Guttman sees the curtain...

Changing the Debate

CHARLOTTE, NC — Twenty-eight years ago, then New York Governor Mario Cuomo gave a...

It’s all about Ohio

CHARLOTTE, NC — Inside the Democratic National Convention here it is all about winning...

Is Apple Serious?

After years of representing to shareholders that it properly monitors its supply chain for...

Comments are currently closed.

Top