Industry News

DaVita to Pay $450 Million in Settlement Regarding Reimbursement for Unnecessary Drug Wastage.

DaVita Healthcare Partners, Inc., the largest dialysis services provider in the United States, has agreed to pay the government $450 million to settle violations of the False Claims Act.  DaVita allegedly billed the government for avoidable waste in administering the drugs Zemplar and Venofer to dialysis patients. The drugs are both packaged in single-use vials.  Two whistleblowers prompted the lawsuit, alleging that DaVita designed dosing grids and/or protocols to maximize the amount of single-use doses opened and administered, also increasing wastage.  Prior to a 2011 change in reimbursement, Medicare reimbursed dialysis providers for waste.

The DOJ’s press release is available at:

Department of Justice.  “DaVita to Pay $450 Million to Resolve Allegations That it Sought Reimbursement for Unnecessary Drug Wastage.”  Justice News.  24 Jun. 2015.