ATTORNEY GENERAL TONG ANNOUNCES $4.8 MILLION SETTLEMENT WITH REDWOOD TOXICOLOGY LABORATORY
(Hartford, CT) – Attorney General William Tong, U.S. Attorney Leonard C. Boyle, and Special Agent in Charge Phillip Coyne of the U.S. Department of Health and Human Services, Office of Inspector General announced today that Redwood Toxicology Laboratory, Inc. has entered into a civil settlement agreement with the federal and state governments in which it will pay nearly $4.8 million to resolve allegations it overcharged the Connecticut Medicaid program for certain laboratory services. Redwood Toxicology Laboratory (“RTL”), with a headquarters located in Santa Rosa, California, provides laboratory-testing services, specifically urine drug testing services, for substance abuse patients enrolled in the Connecticut Medicaid program. The government alleges that RTL violated Connecticut’s so-called “Most Favored Nation” regulation (Conn. Agencies Regs. § 17b-262-649),…