Mitt Romney's 'Jobs Record' Is A Sham
June 02, 2011 9:02 am ET
ROMNEY PROFITED ON FIRM LATER TIED TO FRAUD DAMON CORP. FINED AFTER SALE BY BAIN
Corning Will Plead Guilty to Medicare Fraud
The Government said the settlement covered ''literally millions of fraudulent claims'' at Damon Clinical Laboratories Inc., which Corning acquired in 1993. Corning said the claims involved marketing and billing practices at the laboratories before Corning acquired them.
Like a number of other laboratory companies, Damon admitted to billing Federal Government agencies for blood tests that were not considered medically necessary but were performed along with legitimate tests requested by physicians. The United States Attorney's office in Boston said Damon, formerly based in Needham, Mass., had agreed to plead guilty to charges of conspiring to defraud the Federal Health Care Financing Administration. Damon agreed to pay a criminal fine of $35.3 million and to pay back $83.7 million to Federal health programs.
Oct. 9, 1996 -- Damon Clinical Laboratories Inc., a wholly owned subsidiary of Corning Inc., has agreed to pay $119 million in criminal and civil fines to settle a case involving two whistleblower lawsuits and criminal charges. The whistleblowers and the government charged that the company had submitted false claims to Medicare and other federal insurance programs for laboratory tests that were not ordered and were not medically necessary.
Damon agreed to pay a criminal fine of $35.3 million and to pay the government $83.7 million to settle the whistleblower lawsuits.
