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Sunday, May 18, 2014

Federal courts orders Blue Cross Blue Shield of Michigan to pay 5.1M+ for fraud

Federal courts orders Blue Cross Blue Shield of Michigan to pay 5.1M+ for fraud
[JURIST] The US Court of Appeals for the Sixth Circuit [official website] on Friday affirmed [opinion, PDF] a $5.1 million fraud judgment against Blue Cross Blue Shield of Michigan [corporate website] (BCBSM). Hi-Lex [corporate website], a car parts manufacturer, sued BCBSM for carrying on in bad faith regarding its Administrative Services Contract (ASC) by which BCBSM provides health insurance to Hi-Lex employees. Specifically, BCBSM paid every hospital bill under the ASC, but added hidden surcharges. It then charged Hi-Lex an... [more].

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