LabCorp has been sued and is under Federal investigation for Medicaid and Medicare fraud.  In addition, it’s under scrutiny by the U.S. Senate Finance Committee who is investigating Medicare and Medicaid fraud. Laboratory Corporation of America was ordered to hand over its financial records to the U.S. Senate.

A lawsuit was filed on behalf of the Federal government that claims LabCorp operated a “pull-through” scheme to force doctors covered by insurers to use LabCorp for all medical testing. The suit claims LabCorp (NYSE: LH) offered illegal discounts to doctors in exchange for referring all their patients who need laboratory testing to the company.  According to federal anti-kickback laws, it’s illegal for health care companies to directly or indirectly compensate other parties to encourage them to order any service paid for by the federal health care programs.

Under federal law, companies can’t charge or participate in the Medicare or Medicaid program if they violate federal laws. The suit claims LabCorp charged Medicaid and Medicare more than $1 billion, which is about 20% of the companies total income. If LabCorp is found guilty they will not be allowed to conduct lab tests on anyone covered by Medicaid and Medicare, which is a large portion of LabCorps testing income.

On other news, LabCorp secured a new credit line of $1 billion. What a coincidence.

LabCorp test results should show that my PSA level is dropping…..if they are accurate. I went to my doctor’s office today. His assistant drew blood and I provided a urine sample. Last time the urine specimens were lost by LabCorp, so I want to see what happens to them this time. I say specimens because I provided two different urine samples and BOTH were lost by LabCorp.

After my doctor’s visit last time I waited for over 10 days to get LabCorp test results. After the extensive wait, no results were available. The doctor couldn’t figure out what happened to the urine samples after LabCorp took them. His office called LabCorp but no one could find them or provide an answer as to why there were no test results. They did however provide the results for the blood test.

If you have 3 specimens and you only provide test results for one of them, you’re only 33.3% reliable. That’s way too low for a health care related test that is used by a doctor to determine the next course of action.

I have been reading some of the comments posted by LabCorp employees in this blog. It’s interesting how many of them blame everyone else but themselves for the poor service that patients get at LabCorp centers. According to the employees posting, the doctor, the insurance company and even the patient themselves are at fault. I would have to agree with them. Everyone else but you is at fault for bad health care.

The doctor, for sending the patient to the LabCorp center in order to get a blood test. The insurance company, for going with the lowest bidder and allowing LabCorp into their network of providers. The patient, for allowing their doctor and insurance company to send them to LabCorp for blood tests. They are all at fault that Labcorp has deteriorated as a service provider. It’s their fault that the test results can’t be trusted. It’s their fault that centers close early and that employees treat the patients with such disrespect.

It’s not the fault of the mid-level manager that strives to make a quick buck so that the upper manager commends them. It’s not the Patient Services supervisor who has not idea of what “real” patient services means. It’s not the service center receptionist who treats patients as though they are doing them a favor by taking their blood. It’s not the laboratory personnel that quickly runs blood tests through the system so that they can meet their daily quota, disregarding the quality standards that insure the accuracy of the tests.

Employees who were sent here to defend the company, my recommendation to you is that you have all your fellow employees look in the mirror to see who is really at fault for bad health care. My recommendation to the doctors, insurance companies and patients that are causing all these problems. Stop sending, paying or going to LabCorp for tests. That should resolve all the problems.