Three whistleblowers will get nothing from Texas’ $236 million Medicaid fraud settlement with Xerox because the state relied on media reports, not their knowledge, to bring the case, the statewide intermediary appeals court ruled.
Tuesday;s unanimous opinion wipes out the combined $48 million a trial court awarded them for disclosing Xerox’s failures to confirm Medicaid eligibility in orthodontics services.
“We hold that the news reports publicly disclosed evidence of a fraudulent transaction by Xerox,” Justice April Farris wrote.
The dispute over the 2019 settlement marks the first time a Texas court interpreted a statute governing the quality of information a ...