A Midlands area man has been found liable for defrauding federal healthcare programs of over $51 million. Floyd Calhoun “Cal” Dent, III, of Lexington, South Carolina, and his two co-conspirators, Robert Bradford “Brad” Johnson of Hanceville, Alabama, and LaTonya “Tonya” Mallory of Richmond, Virginia, were found liable by a federal jury in Charleston, South Carolina.
The United States Attorney’s Office announced the verdict, stating that the defendants paid illegal kickbacks to physicians across the country to get them to order medically unnecessary blood tests from Health Diagnostics Laboratory, Inc. and Singulex, Inc. in violation of the Anti-Kickback Statute and the False Claims Act.
The defendants arranged for “process and handling fees” of $17 to be paid to the physicians per referral and for the routine waiving of patient co-pays and deductibles. As a result of those kickbacks, physicians referred patients’ blood samples to HDL and Singulex for medically unnecessary blood tests.
The verdict illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act.
The United States alleged that Mr. Dent, along with his co-conspirators, conspired to pay kickbacks to induce physicians to refer patients to HDL and Singulex. The defendants’ actions resulted in the submission of fraudulent claims to federal health care programs Medicare and Tricare for payment for the medically unnecessary tests.
The verdict was handed down on January 31, 2018. First Assistant U.S. Attorney Lance Crick stated, “This jury verdict sends a strong message of accountability to those who would seek to take advantage of federal health care programs.”
The case was investigated by Assistant U.S. Attorney James Leventis of the U.S. Attorney’s Office for the District of South Carolina; the Commercial Litigation Branch of the Justice Department’s Civil Division; the U.S. Attorney’s Office for the District of Columbia; Health and Human Services, Office of the Inspector General; the FBI; the U.S. Office of Personnel Management Office of Inspector General; and the Department of Defense Office of Inspector General, Defense Criminal Investigative Service.
Floyd Calhoun “Cal” Dent, III, Defendant: He was found liable for defrauding federal healthcare programs of over $51 million.
Criminal Charges: The defendants paid illegal kickbacks to physicians across the country to get them to order medically unnecessary blood tests from Health Diagnostics Laboratory, Inc. and Singulex, Inc. in violation of the Anti-Kickback Statute and the False Claims Act.
City and State: Columbia, South Carolina
Exact Date: January 31, 2018
Sentence or Outcome: The defendants were found liable and ordered to pay over $51 million.
Dollar Amounts: $51 million
Key Facts
- State: South Carolina
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
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