Whoa! - Largest criminal healthcare fine in Massachusetts history (illegal, lawyers, accuse)

[walidm]

Damon Clinical Laboratories -- a national laboratory chain -- pleaded guilty and paid a total of $119 million in criminal and civil fines to the government.

Damon Corporation, plead guilty to Federal conspiracy charges as a result of tens of millions of dollars in systemic Medicare fraud.

At The Time, Largest Health Care Fraud Criminal Fine In History: “The $35.3 million criminal fine in the Damon case, one piece of the $119 million total settlement, is the largest ever recovered in a health care fraud case.” (Kimberly Blanton, “Needham Lab Fined $ 119m For Fraud,” The Boston Globe, 10/10/96)

Court records, including statements by prosecutors and by Damon officials, indicated that the fraud continued until Corning purchased the firm. Prosecutors gave Corning sole credit for cleaning up the fraud.” (The Associated Press, 10/10/02)

Interesting.

[wxjay]

Ok....?

[AeroGuyDC]

I'm convinced our government does not commit enough resources towards fighting fraud, waste, and abuse. As a taxpayer, I'm willing to support as many teams of fraud specialists as it takes to root out FWAB....especially considering the value of a moderately small bust is enough to cover the costs of funding the teams.

[walidm]

Interesting read...Mitt Romney, Damon Corp, Medicare Fraud,& Blood Money | RedState

[workingclasshero]

kinda old news the 119 million was from 1996


Clinical Laboratory Compliance: Something Old, Something New

[walidm]

Initially Romney claimed to have no knowledge of the medicare fraud which happened under his watch.

Source

What Did Romney Know and When?

According to Forbes, when Mitt Romney was hammered with the scandal during his campaign to become the Governor of Massachusetts, he acknowledged that he did have some awareness of the shady dealings going on at Damon.

According to The Deseret News, when his Democratic opponent for the governorship, Shannon O’Brien, accused him of lax oversight at Damon and failing to report the fraud, Romney defended that he had helped uncover the illegal activity at Damon, asking the board’s lawyers to investigate. As a result, he said, the board took corrective action before selling the company in 1993 to Corning Inc.

However, according to the court records, the Damon scheme continued throughout Bain’s ownership, and prosecutors credited Corning, not Romney, with taking corrective action

Source

Interesting.

[BentBow]

No one.... and I repeat NO ONE, will go to jail or really pay for this corrupt scheme. It is set up to be corrupt and the government plays along, like they are watching. While the coffers are pilfered.

[walidm]

Seems like his statements from the debates are going to come back to haunt him....