DOJ Drops "Closely Watched" False Claims Act Suit

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October 16, 2017

After a California judge pushed back against the case, the Department of Justice dismissed a “closely watched” False Claims Act lawsuit, in which it alleged that United Healthcare defrauded Medicare Advantage, reports Law360.

The DOJ’s complaint was the first time the government intervened in a whistleblower-led lawsuit over alleged Medicare Advantage fraud. Before the DOJ dropped the case, a California judge said it was too vague, didn’t show intentional wrongdoing, and failed to prove that the government would have withheld payment had it known of the alleged violations.