Ohio Hospital Agrees to Settle Whistleblower Case for $4.4 Million

EMH Regional Medical Center (“EMH”), a not-for-profit hospital in Lorain County, Ohio, and North Ohio Heart Center, Inc. (“NOHC”), an independent group of physicians, have agreed to settle civil claims that they violated the False Claims Act. The government alleged that EMH and NOHC submitted claims to Medicare for procedures that were unnecessary.

Kenny Loughner, the former manager of EMH’s catheterization and electrophysiology laboratory, filed a whistleblower complaint under the qui tam provisions of the False Claims Act alleging that EMH and NOHC performed unnecessary cardiac procedures on Medicare patients. Specifically, Loughner alleged that, from 2001 to 2006, EMH and NOHC performed angioplasty and stent placements on Medicare patients who did not require the procedures.

EMH and NOHC agreed to pay the federal government $3,863,857 and $541,870, respectively, to resolve the allegations. As his reward, the whistleblower will receive $660,859 of the total settlement amount.