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North Carolina hospital settles suit over urine test billing

A Charlotte hospital system has agreed to settle a lawsuit over improper billing for urine tests.

U.S. Attorney Jill Rose told local media that Carolinas Healthcare System in Charlotte has agreed to pay $6.5 million to settle a lawsuit over billing practices brought by former lab director Mark McGuire.

Rose said prosecutors found the hospital had used the wrong billing code for urine drug tests to get higher payments than the hospital should have received.

McGuire said the hospital improperly coded the tests between 2011 and 2015. The hospital received about $80 per test more than it should have. He said he tried to warn hospital officials about the improper coding.

McGuire will get about $1.4 million under the whistleblower lawsuit settlement.

The hospital said it cooperated in the investigation.

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