NJ EHR Company Reaches $500,000 FCA Settlement

The U.S. Department of Justice (DOJ) announced on August 27 that New Jersey-based Konica Minolta Healthcare Americas Inc. agreed to pay $500,000 to resolve allegations that its former subsidiary, Viztek LLC, misrepresented the capabilities of its electronic health records (EHR) software, which caused users of the software to file false claims with the federal government. The case, United States ex rel. Wilson v. Viztek Inc., was initiated by a whistleblower under the False Claims Act (FCA).

The DOJ alleged that Viztek’s fraudulent misrepresentations allowed it to improperly obtain certification of its “EXA EHR” software. In turn, providers who used the software falsely attested that it complied with “meaningful use” requirements adopted by the U.S. Department of Health and Human Services (HHS).