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
ASPR releases cybersecurity module to conduct risk assessments 
The Administration for Strategic Preparedness and Response has released a new cybersecurity module for organizations to conduct risk assessments. The free…
Perspective
Staying Cyber Alert and Cyber Ready
Public
As the world has learned in recent years, today’s conflicts are fought with many weapons, and cyber warfare is an integral part of the arsenal.As of this…
Headline
FBI reminds of potentially malicious activity by Iranian cyber actors
The FBI is reminding critical infrastructure organizations to implement mitigations from a June 2025 fact sheet on potential actions by Iranian-affiliated…
Headline
CISA report updates findings on RESURGE malware attacks
The Cybersecurity and Infrastructure Security Agency Feb. 26 released a report that updates findings from last year on RESURGE malware used to gain covert…
Headline
Agencies issue guidance on exploitation of Cisco systems by cyber actors 
U.S. and international agencies Feb. 25 released guidance on protecting Cisco Software-defined Wide-area Networking systems from exploitation by malicious…
Headline
CMS announces library of digital health apps for Medicare beneficiaries 
The Centers for Medicare & Medicaid Services Feb. 23 announced the development of its Medicare App Library. As part of the agency’s Health Technology…