A Medical Device Daily

VeridianHealth (Deerfield, Illinois), a provider of electrodiagnostic nerve testing services to physicians’ offices, reported this week that it is the subject of a whistleblower lawsuit filed by the attorney general’s office of the State of Illinois.

The lawsuit was initiated by an Illinois chiropractor who, VeridianHealth said, “stands to earn a windfall of 30% of any recovery in the lawsuit.”

VeridianHealth called the suit “baseless,” and said that its test procedures would be “vindicated in court.”

Lori Boukas, a spokesperson for VeridianHealth, said the company’s tests are administered by trained and licensed nurse practitioners and physical therapists, and by technicians who are either certified by, or trained to become eligible for certification by, a nationwide certifying body.

The company “has been aware of the attorney general’s office’s scrutiny,” she said, adding that it has cooperated in providing “a large number” of documents and information. She said: “In the end it appeared the attorney general had decided to file this lawsuit regardless of any evidence that countered their allegations.”

Richard Hinden, the company’s general counsel, said in a statement that VerdianHealth had established a compliance program “which now operates under the direction of our director of medical affairs, a board-certified neurologist from the University of Chicago . . . Our diagnostic testing has been used by many physicians in different specialties-including MDs, podiatrists and chiropractors – all of whom are better able to diagnose and treat their patients using the tests we provide.”