NJ Heart to pay United States $3.6 Million to Settle False Claims Act Case

CHERRY HILL, NJ – (May 29, 2015) – Garden State Cardiovascular Specialists, trading as Newark-based New Jersey Heart, agreed to settle a Qui Tam Claim for $3.6 million, plus interest, based on a collaborative agreement reached by national whistleblower law firm Begelman & Orlow, P. C. of Cherry Hill, NJ, and the United States Attorney’s Office for the District of N.J.

Begelman & Orlow, P. C. announced the settlement today on behalf of its client, Cheryl Mazureck, who will receive an 18 percent share of the $3.6 million, plus interest, recovered by the government. The complaint, brought under the U.S. False Claims Act (FCA) through the firm, alleged FCA violations by New Jersey Heart through its principals Dr. Preet Randhawa and Dr. Jasjit Walia.

A large percentage of the patients who use New Jersey Heart’s cardiology services are over the age of 65. The company is entitled to payment of only reasonable and necessary expenses related to patient care, as set for under the federal Medicare program, funded by the United States government, and New Jersey’s Medicaid program.

In pursuing the case, attorney Marc Orlow, Esq. of Begelman & Orlow, P. C. maintained “the evidence our firm brought to the government, however, showed that that Garden State’s services were not reasonable and nor necessary. The company performed and charged the government for furnishing services in excess of the patient’s needs, based on their diagnosis; furnishing a battery of diagnostic tests, where, based on the diagnostic reports, only some were needed. Further, the company misrepresented the diagnoses to justify the services or products for which it charged and accepted payment.”

These tests included cardiovascular nuclear medicine, myocardial perfusion imaging, administration of technetium tc-99m tetrofosmin, diagnostic, external counter pulsation, myocardial perfusion imaging and cardiology ultrasound, added firm partner Ross Begelman, Esq.

The United States investigation and settlement of these allegations was handled by the United States Attorney’s Office in New Jersey through Assistant United States Attorneys Bernard Cooney and Kristen Vasallo and the Department of Justices senior trial counsel Arthur S. Di Dio. Garden State Cardiovascular Specialists was represented by Bruce Levy, Esq. of Gibbons P.C.

The Qui Tam law was originally written by President Abraham Lincoln during the US Civil War in an effort to stop and punish those looking to profit from the submission of false claims to the federal government. In addition to protecting whistleblowers from retaliation, the Qui Tam law also encourages anyone with information about fraud being committed against the federal government to “blow the whistle” and report the information. In recognition of their service to the country, whistleblowers are paid a share of any proceeds obtained as a result of their information.

About Begelman & Orlow, P. C.

As a leading law firm in Qui Tam lawsuits, the skilled attorneys at Begelman & Orlow, P. C. have the experience it takes to build a convincing case while protecting the rights and recoveries of the whistleblower who reports the fraud. Located in Cherry Hill, NJ, we are a national, multi-faceted firm that has built a successful reputation for proven success on the foundation of our emphasis on Qui Tam claims.


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