Lab Owner Charged in $53 Million Scheme


Update: Daniel Hurt pleaded guilty in three cases. He admitted that he participated in a conspiracy related to Medicare billing for cancer genomic (CGx) testing. He also admitted that he and his co-conspirators, including individuals associated with so-called marketing entities, acquired thousands of testing samples from Medicare beneficiaries located throughout the United States. Marketers used targeted campaigns to induce beneficiaries to submit CGx specimens by means of cheek swabs sent to their homes or provided to them at purported “health fairs.” He agreed to pay more than $97 million in restitution and more than $31 million in forfeiture. Read a Department of Justice press release.

Court documents say Daniel Hurt owned several clinical laboratories that conducted or arranged for a variety of medical tests. He allegedly paid kickbacks and bribes to various entities who supplied referrals and orders for cancer genetic screening tests (CGx) for Medicare and other health care benefit program beneficiaries without regard to medical necessity. The laboratories submitted claims for payment to Medicare for these CGx tests. Read a news story from the Pittsburgh Post-Gazette and a Department of Justice press release.



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