Cleveland Clinic Foundation agrees to pay $7.6 million involving false claims on grant applications

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Cleveland Clinic Foundation agrees to pay $7.6 million involving false claims on grant applications
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The Cleveland Clinic Foundation agreed to pay over $7 million for violating the False Claims Act, after an employee failed to disclose they received funding from other sources while applying for grants.

The Cleveland Clinic Foundation agreed to pay $7.6 million over allegations involving false claims on grant applications. Credit: Cleveland ClinicCLEVELAND, Ohio – The Cleveland Clinic Foundation has agreed to pay $7.6 million to settle allegations that the Clinic failed to disclose that a former researcher had funding from foreign sources on grant applications to the National Institutes of Health.

The Clinic, in a statement late Friday afternoon, said it did not agree with the allegations brought by federal prosecutors. But “in order to avoid costly and time-consuming litigation, we have agreed to a settlement, under which no admissions are made.” Federal court records show Wang began working at the Clinic in 1997, specializing in genetics and cardiovascular disease. The national health agency provided him with $3.6 million in grants, according to court records.According to the Clinic, Wang committed several violations of hospital policy over the years. The Clinic said that it included concealing his receipt of millions of dollars of research funding in China and failing to disclose all of his positions there.

In 2020, federal prosecutors charged Wang in U.S. District Court in Cleveland with false claims and wire fraud. The charges were dropped a year later.

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