False Claims

A landmark Qui Tam lawsuit, United States of America, ex rel Paul Pew v. Seoul Medical Group, Inc., et al., has concluded with a massive $62 million settlement on March 26. The action, filed in the Central District of California, alleged that Seoul Medical Group (SMG) and its subsidiary Advanced Medical Management (AMM) submitted false diagnosis codes to fraudulently inflate payments from the Medicare Advantage program. The total settlement was paid by four entities: SMG and AMM (over $58M), former owner Dr. Min Young Cha ($1.8M), and Renaissance Imaging Medical Associates ($2.4M). The case also included claims of retaliation against the whistleblower, former executive Paul Pew, resolving his personal claims for wrongful termination and distress.