Madison judge fines Philippine company $100 millionA federal judge in Madison has told a Philippine company to pay $100 million in fines and restitution in a health care fraud case.
A federal judge in Madison has told a Philippine company to pay $100 million in fines and restitution in a health care fraud case.
The Health Visions Corp. was accused of defrauding the U.S. Defense Department’s health program.
Prosecutors said they inflated bills, made false claims from 1998-2004, and they were part of a kick-back scheme with another health provider in the Philippines.
In a sentencing Thursday, Judge Barbara Crabb levied a half-million dollar fine and ordered just under $100 million in restitution.
She also told Health Visions to liquidate its assets and never serve as a government provider again.
The charges were brought in Wisconsin because the company had WPS of Madison process the false claims.
Officials said WPS itself did not commit wrong-doing.
Former Health Visions’ CEO Thomas Lutz pleaded guilty in late 2006 to conspiring to pay kick-backs. He has not been sentenced yet.