HealthNow New York Inc. must continue to face a whistleblower suit alleging that it improperly overpaid health-care claims at the expense of the federal government and New York.
Madelyn Barnes adequately alleged that the company violated the False Claims Act by failing to stop a payment processing software error that improperly caused HealthNow to overcharge the governments, Magistrate Judge H. Kenneth Schroeder Jr. of the US District Court for the Western District of New York said in a March 21 report and recommendation.
HealthNow objected, but Schroeder’s report and recommendation was accepted and adopted by Judge John L. Sinatra Jr. ...
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