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Prominent New York City Real Estate Investor, Attorney and Atlanta Nursing Home Chains Pay $14 Million to Settle Whistleblower Kickback Case
Date:2/26/2010

lawsuit for its role in the scheme. (http://www.phillipsandcohen.com/CM/NewsSettlements/NewsSettlements551.asp)

"As outlined in the government's complaint, Rubin Schron, Leonard Grunstein and Murray Forman tried to disguise an unlawful kickback payment," said Mary Louise Cohen, a Washington, DC, attorney with Phillips & Cohen LLP, which represents the whistleblower. "Omnicare's $50 million payment for a small unit of Mariner Health Care -- which had less than $3 million in assets and only two employees -- just didn't add up without figuring out what else Omnicare was getting as part of the deal."

On the same day that Omnicare bought the Mariner unit, Mariner signed a 15-year contract with Omnicare to refer all of its drug purchases by nursing home patients to Omnicare, including drug purchases covered by Medicare and Medicaid.

"Once they heard the government was inve
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SOURCE Phillips & Cohen LLP
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