DOJ drops Medicare fraud case against Fresenius

January 3, 2013 by MassDevice staff

The U.S. Department of Justice dismisses a lawsuit against Fresenius Medical Care AG, which was accused of running a scheme to overcharge Medicare for kidney dialysis services.

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The U.S. Department of Justice dropped a lawsuit against Fresenius Medical (NYSE:FMS), which was accused of overcharging Medicare for kidney dialysis services.

The dismissal follows a federal appeals court's decision to vacate a ruling against Fresenius, which had lost a $83 million verdict in a lower court.

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"We are pleased to have this lengthy litigation successfully concluded," Fresenius Medical Care CEO Ben Lipps told Law360.com.

Germany-based Fresenius Medical Care's kidney dialysis unit was accused of improperly billing Medicare for home dialysis supplies and equipment between 1999 and 2005, and the company was ordered to pay $83 million in damages.

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