The CEO of a laboratory company acquitted in a $1.4 billion fraud scheme is suing six payers, alleging they made false allegations to regulators and prosecutors to avoid paying millions in legitimate claims.
Christian Fletcher, CEO of LifeBrite Laboratories, was accused with nine others of billing private insurance companies about $1.4 billion for laboratory claims as part of a billing scheme from November 2015 through February 2018. The defendants allegedly were paid $400 million for the claims. A jury acquitted Mr. Fletcher in March of conspiracy to commit healthcare fraud and wire fraud, and of conspiracy to commit money laundering.
The lawsuit, filed in Georgia state court, alleges that the payers intentionally destroyed LifeBrite's business and reputation, resulting in damages exceeding $1 billion, according to a July 21 news release from Miller Barondess LLP, the law firm representing Mr. Fletcher and the lab.
Named in the lawsuit are Blue Cross Blue Shield of Florida (Florida Blue), Blue Cross and Blue Shield Healthcare Plan of Georgia (Anthem), Elevance Health, Anthem Insurance, UnitedHealth Group and CVS Health/Aetna.
The lawsuit alleges that the insurance companies conspired to "falsely and maliciously portray LifeBrite's relationship with the hospitals as healthcare billing fraud, despite federal law that permits exactly what LifeBrite did here," according to the release. The lawsuit also alleges the payers leverage their relationship with regulators, law enforcement and others to "prosecute and destroy LifeBrite and other labs to avoid paying money owed."
Mr. Fletcher and the lab are seeking a jury trial and more than $1 billion in damages.