Sunday, September 23, 2007
Novation Faces Suit Alleging Kickbacks
Cynthia Fitzgerald of Plano, TX has filed a lawsuit against her former employer, Novation, claiming that the corporation offered kickbacks to hospitals to secure major contracts. This allegation reaches far, ultimately resulting in Medicare fraud. Suppliers, such as Novation, often overcharge hospitals, regaining their kickback money. Hospitals compensate for this by filing, often fraudulently, for reimbursement from Medicare and Medicaid for the supplies that they are purchasing.
Novation, which is the nation’s largest group purchasing organization for hospitals, serves 2,200 community owned hospitals and 100 teaching hospitals.
Ms. Fitzgerald worked for Novation from July 1998 to Februry 1999 as a senior product manager for medical products. She alleges that she was fired after alerting her bosses to illegal payments to the company.
Novation claims that the allegations are without merit.
Click here to read the full Dallas News article by Jason Roberson, Novation ex-worker files suit alleging kickbacks.
Posted by Quitam Help Admin on 09/23 at 05:09 PM
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