Tennessee diabetes company settles $40 million whistleblower lawsuit

Nashville based Healthways’ Diabetes Treatment Center of America to pay $40 million.

Nashville, TN (JusticeNewsFlash.com)–A federal whistleblower lawsuit filed 15 years ago by lawyers representing a former employee of a Healthways Inc., center may settle for $40 million. Nashville based Healthways owned and operated the former Diabetes Treatment Center of America which was the named defendant in the whistleblower lawsuit. According to court documents filed by attorneys, the Diabetes Treatment Center of America illegally paid doctors for referrals.

The proposed court settlement is waiting for approval by the judge. The federal whistleblower claim is usually initiated by lawyers on behalf of the federal government and this type of legal action must be approved by the U.S. Department of Justice (DOJ) www.usdoj.gov. Federal prosecuting attorneys did not intervene in the litigation agreement which proposes Healthways pay the government $28 million in fines for federal violations. Healthways company executives are not admitting to any corporate wrongdoing in the settlement of the case and state they have chosen to avoid further legal expenses and distraction.

JusticeNewsFlash.com news for Tennessee government lawyers litigating federal whistleblower claims.

About the Author Justice Seeker

Heather L. Ryan, R.N., C.L.N.C- Heather Ryan is a Certified Legal Nurse Consultant with 15 years of experience in the health care industry. Her expertise in reviewing medical records and assisting lawyers with the determination as to whether legal action should be taken provides an invaluable asset to the newsroom. Medical-malpractice, products liability, personal injury and workers’ compensation are some of the recent areas of litigation Ms. Ryan has focused her efforts on. A member of the Florida Justice Association, Heather maintains a long list of certifications and credentials to support her areas of expertise and stays up-to-date with her clinical knowledge working as an emergency room/trauma nurse, at a Level 1, Adult/Pediatric trauma and teaching institution in South Florida.