4th Circuit Affirms Dismissal Of FCA Suit Alleging Unlawful Physician Referrals

( June 8, 2026, 12:09 PM EDT) -- RICHMOND, Va. — The Fourth Circuit U.S. Court of Appeals affirmed a lower court ruling dismissing a relator’s qui tam suit against hospitals and related entities alleging violations of the False Claims Act (FCA) by participating in unlawful payments to physicians for referrals to the hospitals in violation of the Stark Law and the Anti-Kickback Statute (AKS), finding that when the alleged schemes in the amended complaint are “stripped of inflammatory rhetoric and conclusory labels,” the practices of the hospitals “are consistent with running a lawful healthcare business.”...