A settlement has been reached to resolve False Claims Act allegations against ICP Medical LLC.
The allegations arose from a lawsuit that claimed ICP Medical LLC submitted false claims for medical items to the U.S. Department of Veterans Affairs and Department of Defense.
Allegedly, ICP Medical LLC concealed the Chinese origin of medical supplies and inflated prices. Reportedly, the company obtained products from China that included body bags, gowns, and scrubs, and removed the “Made in China” label from the items and put them in new boxes and added U.S. flag stickers to the packages.
Sourcing goods from China is typically prohibited for government contractors. A contractor can only source goods from the United States or another designated country.
This case was brought forward by a former employee of ICP Medical, under the qui tam or “whistleblower” provisions of the False Claims Act, which permit private individuals to sue on behalf of the government for false claims and to share in any recovery.
ICP Medical LLC is an infection control and prevention manufacturer serving hospitals and medical facilities in the United States and worldwide.