EHR vendor to pay $155 million to settle FCA allegations

Jun 01, 2017 - 02:14 PM

An electronic health records software vendor and certain of its employees will pay a total of $155 million to resolve a False Claims Act lawsuit alleging that the organization misrepresented the capabilities of its software, the Department of Justice announced yesterday. The settlement also resolves allegations that the vendor, eClinicalWorks, paid kickbacks to certain customers in exchange for promoting its product. The government contends that the vendor falsely obtained certification for its EHR software when it concealed from the certifying entity that its software did not comply with the requirements for certification. As part of the settlement, ECW entered into a corporate integrity agreement with the Department of Health and Human Services’ Office of Inspector General that requires the vendor to retain an independent organization to assess its software quality control systems and provide semi-annual reports to OIG, among other provisions.

Related News Articles

Headline
Microsoft, Health-ISAC announce disruption to cybercriminal businesses supplying attacks on healthcare, others 
Microsoft and Health-ISAC Oct. 15 announced that they disrupted three cybercriminal businesses that provided services to threat actors to attack more than 75,…
Headline
Critical vulnerability discovered in certain Citrix products 
A new critical vulnerability has been discovered in Citrix NetScaler ADC and NetScaler Gateway products, the company announced Oct 8. Citrix said the…
Chairperson's File
Chair File: Strengthening Cybersecurity to Protect Patients and Our Hospitals’ Mission
Public
What does patient safety mean to you? For many, patient safety means what we can see: hand hygiene, infection prevention and control practices, medication…
Headline
Agencies warn of Chinese government-linked cyber actors using hacking tools to steal sensitive data
A joint advisory released Oct. 8 by U.S. and international agencies warns of Chinese government-linked cyber threat actors using automated and hands-on hacking…
Headline
NSA recommends adoption of zero trust controls to improve cybersecurity of essential functions
The National Security Agency Oct. 8 released guidance for critical infrastructure organizations that recommends adopting high-impact zero trust strategies to…
Headline
Agencies warn of credential-compromising campaign actively targeting critical infrastructure networks
The FBI and Secret Service released an advisory Oct. 6 warning of ongoing activities by FortiBleed, a global credential-compromise campaign used by threat…