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The government awards contracts to companies with histories of misconduct such as contract fraud and environmental, ethics, and labor violations. In the absence of a centralized federal database listing instances of misconduct, the Project On Government Oversight (POGO) is providing such data. We believe that it will lead to improved contracting decisions and public access to information about how the government spends hundreds of billions of taxpayer money each year on goods and services. Report an instance of misconduct »

Humana

Conspiracy to Suppress Payments to Physicians

Date: 03/18/2008 (Date of Settlement)

Misconduct Type: Antitrust

Enforcement Agency: Non-Governmental

Contracting Party: None

Court Type: Civil

Amount: $3,000,000

Disposition: Settlement

Synopsis: Humana Inc. settled part of a case in which Kansas City area physicians sued Humana and other health insurance companies for allegedly conspiring to suppress payments to physicians. A class action lawsuit filed in 2005 alleges that the companies violated antitrust laws by fixing prices and engaging in other monopolistic practices, such as refusing to negotiate reasonable reimbursements. Under the settlement, Humana admitted no wrongdoing and agreed to pay $2.8 million in cash, to be distributed among more than 2,200 physicians, and implement initiatives and other commitments with respect to its business practices, the cost of which will have a value of no less than $200,000.