DOJ’s Civil Cyber-Fraud Initiative Impact on Healthcare Organizations

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Bass Berry & Sims’ Lisa Rivera was recently interviewed on the Healthcare Strategies podcast about how the Department of Justice is enforcing the Civil Cyber-Fraud Initiative to hold healthcare organizations accountable for cybersecurity matters. The Initiative, launched by DOJ in October 2021, utilizes the False Claims Act (FCA) to take action against entities that knowingly provide insufficient data security measures. Rivera discussed the recent case in which DOJ settled for $930,000 with a healthcare government contractor for noncompliance with cybersecurity requirements. The government saw this case as a compliance failure although there was no actual security breach and demonstrates the government’s tenacity in pursuing allegations of fraud under this initiative.

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