Healthfirst to Pay $35 Million for Violating New York False Claims Act

LegalNewsline.com reported on September 4, 2008, that Healthfirst will pay $35 million to the state of New York to settle claims that it violated that state’s False Claims Act.

Healthfirst, the largest Medicaid Managed Care provider in New York, was alleged to have given incentives to employees based on the number of people they enrolled from 1999 to 2003.

“Medicaid providers engaged in prohibited compensation practices are committing an act of fraud against New York’s taxpayers,” Attorney General Andrew Cuomo said. “Marketing reps must not engage in a numbers game that could result in ineligible persons being enrolled in the Medicaid program.”

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