Arizona-based health care group agrees to $10M payout

2011-09-09T11:11:00Z 2014-06-17T16:52:03Z Arizona-based health care group agrees to $10M payoutThe Associated Press The Associated Press
September 09, 2011 11:11 am  • 

PHOENIX — The U.S. Department of Justice says Arizona-based TriWest Healthcare Alliance Corporation has agreed to pay $10 million to resolve civil false claims allegations.

TriWest is a contractor to TRICARE Management Activity. TRICARE is the U.S. medical benefit plan which covers uniformed personnel, retirees, their dependents and reserve components.

The settlement resolves a lawsuit filed by four former TriWest employees under the whistleblower provisions of the False Claims Act, the Justice Department says.

The United States partially intervened in the case on Aug. 29.

The government and plaintiffs allege that between 2004 and 2010, TriWest failed to give TRICARE the benefit of negotiated discounts with service providers under letters of agreement.

Tri-West has yet to respond when contacted Friday for comment.

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