Federal Contractor Misconduct Database (FCMD)

The federal government routinely awards contracts to companies with histories of misconduct, including contract fraud and other violations. POGO believes that providing this website will help to improve contracting decisions and increase public knowledge of how the government spends billions of taxpayer dollars each year. Read more…

Conspiracy to Improperly Deny, Delay and/or Reduce Physician Payments

“This action is between (1) a class of practicing or retired physicians from around the United States and by certain medical societies, and (2) a number of health care insurance companies, including Aetna, Anthem, Inc., Cigna, Coventry Health Care, Inc., Health Net, Inc., Humana Health Plan, Inc., Humana, Inc., Pacificare Health Systems, Inc., Prudential Insurance Company of America, United Health Care, United Health Group and Wellpoint Health Networks, Inc. The complaint in the Action alleges that between 1990 and 2002, these companies engaged in a conspiracy to improperly deny, delay and/or reduce payment to physicians by engaging in several types of allegedly improper conduct… The complaint claims that this conduct violated various state and federal statutes. The named plaintiffs in the complaint also seek recovery on various common law theories, including breach of contract.” In August 2006, Humana settled claims filed on behalf of a class consisting of chiropractors and other non-MD specialists, agreeing to pay $3.5 million and change its business practices.

Misconduct Type
Cost/Labor Mischarge
Enforcement Agency
Contracting Party
Court Type
Date of Settlement
Contractors Involved Penalty
Humana $3,500,000
Further Information Released
Aug. 2006 Settlement 10/23/2007
Settlement Agreement 10/13/2006

Federal Contractor Misconduct Database