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October 17, 2019

Genetic Testing Company Agrees to Pay $42.6 Million to Resolve Kickback and Medical Necessity Claims

UTC Laboratories Inc. (RenRX) agreed to pay $41.6 million, while its three principals will pay $1 million, to resolve allegations of FCA violations that included the payment of kickbacks in exchange for laboratory referrals for pharmacogenetic testing and for furnishing and billing for tests that were not medically necessary.   The alleged violations occurred between 2013 and 2017 when RenRX offered and paid remuneration to physicians and induced the ordering of tests in return for their participation in a clinical trial.