LA company allegedly falsified COVID test results; agrees to pay $ 22.5 million
The House’s selected subcommittee on the coronavirus crisis is holding a hearing.
ONE The angels, California based covid-19 the test company has agreed to pay a settlement of 22 million dollars after being accused of falsifying test results and engaging in false advertising.
One complaint claimed that the company, which did business under the name “Sameday Health”, erroneously announced that it could deliver test results within 24 hours even though they knew it was unable to do so, according to a press release from Los Angeles City Attorney Mike Feuer.
Home test kits, especially the Celltrion DiaTrust COVID-19 Ag home tester, stacked for delivery in Boston on January 5, 2022. (Photo by Lane Turner / The Boston Globe via Getty Images / Getty Images)
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As this promise could not be fulfilled, the company is said to have falsified the results for at least 500 customers by tampering with old PDF laboratory reports and in some cases sent the false results to customers before their samples had even been delivered to a laboratory for testing.
In some cases, customers are said to have received “negative” test results without the company having any way of knowing if that was actually the case.
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“It’s more than outrageous that someone will falsify COVID tests, as we claim happened here. If you get a negative test, you assume it’s safe to go to work, visit family and friends or take a vacation,” he said. Feuer in a statement. “But the victims of this alleged scheme may have unknowingly spread COVID to others or failed to receive timely and appropriate care themselves,” Feuer said. “I have just come across COVID myself and know how important it is to have accurate test results. This landmark decision will stop this alleged scheme, provide compensation to consumers and insurance companies, and impose severe penalties.”
Registered Nurse Dave Ballard, 47, uses a nasal swab to test a person for coronavirus (COVID-19) (Reuters / Cheney Orr / Reuters)
The company, led by CEO Felix Huttenbach, has agreed to pay the City of Los Angeles $ 22.5 million to merge a $ 3.9 million settlement between the city and Dr. Jeff Toll, who was allegedly a partner in the alleged scheme.
The plaintiffs also allege that Sameday Health and Huettenbach conspired with Customs to commit insurance fraud by affecting insurance companies that already paid for COVID-19 tests with an additional fee for unnecessary medical consultations.
A person receives a throat swab from a healthcare professional at a test site in the Bismarck Event Center while the outbreak of coronavirus (COVID-19) continues in Bismarck, North Dakota, USA, October 26, 2020. Reuters / Bing Guan (Reuters / Bing Guan / Reuters Photos)
Sameday Health operates 55 test sites across the country, including 16 in Los Angeles County, and has earned “tens of millions” in revenue since the onset of the coronavirus pandemic, according to the press release.
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Sameday Health issued its own press release acknowledging that it failed to meet the “standard of excellence” that “customers deserved.”
“Sameday Health was founded in September 2020 in an effort to make fast, reliable Covid testing available to everyone,” the company said in a statement. “In the first days, in the midst of the chaos of massive increase in demand for services and lack of supplies, we failed to meet the standards of excellence our customers deserve. We have rectified the problems that arose back in 2020 and have made significant investments in compliance. and systems to ensure that we meet customer expectations. “
The statement continued: “We agreed to settle with the City Attorney and the LA District Attorney to move forward and let the 1,200 men and women in Sameday focus on providing top-level service to the communities we serve.”
