Clinical Lab and Owner Settle Anti-Kickback Allegations for Thirteen Million Dollars

On January 8, 2024, the New Jersey Office of the State Comptroller (OSC) announced that RDx Bioscience agreed to pay $2.93 million to NJ Medicaid and RDx and Eric Leykin, the CEO and owner of RDx, agreed to pay $10.32 million to the United States to settle Medicaid overpayment and kickback claims. In connection with OSC’s audit of claims submitted by RDx, Leykin acknowledged that RDx routinely overcharged Medicaid for lab tests, conducted unnecessary lab tests, and lacked documentation for claims, including missing signatures in violation of Medicaid regulations. The settlement with the United States resolved allegations regarding kickbacks paid to induce referrals to RDx for lab testing. RDx is no longer operating.

Leykin also faces criminal charges. In July 2023, Leykin allegedly impersonated a technician to enter a competitor’s lab in order to destroy and steal equipment. As a result, OSC’s Medicaid Fraud Division suspended Leykin and RDx from New Jersey Medicaid while the criminal case is pending.

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For more information, contact:
Riza I. Dagli | 973.403.3103 | rdagli@bracheichler.com
Edward J. Yun | 973.364.5229 | eyun@bracheichler.com
Cynthia J. Liba | 973.403.3106 | cliba@bracheichler.com