AG Labrador Announces Settlement in Medicaid Fraud Case

For Immediate Release
January 29, 2025
Media Contact: Dan Estes
daniel.estes@ag.idaho.gov

Attorney General Labrador Announces Settlement in Medicaid Fraud Case

[BOISE] – Attorney General Raúl Labrador announced a $219,321.25 settlement in a Medicaid fraud investigation into Precision Diagnostics for allegedly false claims between January 2013 and December 2022, submitted to the Idaho Medicaid Program.

Claims for medically unnecessary drug analysis tests were allegedly submitted by doctors that received free drug-testing supplies from Precision Diagnostics in exchange for laboratory testing referrals in violation of state and federal anti-kickback laws. This state settlement was part of a larger nationwide investigation into Precision Diagnostics and a settlement totaling $27 million dollars. 

“It is essential that all agents and actors of Medicaid are held to the highest standard of scrutiny when conducting business with taxpayer dollars,” said Attorney General Labrador. “This settlement returns funds back into the program designed to provide health services to Idahoans, not to fraudulently line the pockets of contractors and providers.”

The case was investigated by the Attorney General’s Medicaid Fraud Control Unit and the Idaho Department of Health and Welfare’s Medicaid Division. Precision Diagnostics has already submitted the first of five annual restitution payments and Idaho’s share of $69,220.28 will be returned to the Medicaid Division.