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Home :  News Room :  News Releases :  Horizon Blue Cross Blue Shield of New Jersey Files Complaint Against Biodiagnostic Laboratory Services

June 2009

Horizon Blue Cross Blue Shield of New Jersey Files Complaint Against Biodiagnostic Laboratory Services

Biodiagnostic Laboratory Services files over $14 million in fraudulent claims.

(Newark, NJ, June 25, 2009) - Horizon Blue Cross Blue Shield of New Jersey (Horizon BCBSNJ) announced today that it filed a complaint against Biodiagnostic Laboratory Services, L.L.C. (BLS) for submitting over $14 million in fraudulent health insurance claims with the company.  The complaint was filed with the Superior Court of New Jersey Law Division/Camden County.

 The complaint alleges that beginning in 2005, BLS and its principals entered into an unlawful scheme to defraud Horizon BCBSNJ.  Specifically the complaint states that BLS:

  • Submitted false and inflated health insurance claims which misrepresented and overstated the charges for services rendered by more than $14 million;
  • Double-billed for the same or included services;
  • Offered and paid referral fees and other remunerations to referring physicians through facility use agreements and service agreements to encourage them to refer patients to BLS;
  • Violated the New Jersey Clinical Laboratory Improvement Act. 

“Horizon Blue Cross Blue Shield of New Jersey has a responsibility to protect our 3.6 million members from deceptive billing practices that are driving the costs of health care higher,” said Jim Albano, Vice President of HealthCare Services, Horizon BCBSNJ.  “We look forward to fighting this battle through the courts on behalf of our members.”

Click here to view a copy of the complaint.

About Horizon Blue Cross Blue Shield of New Jersey

Horizon Blue Cross Blue Shield of New Jersey is the oldest and largest health insurer in the state serving over 3.6 million members. Horizon BCBSNJ is New Jersey's only not-for-profit, health services corporation and is headquartered in Newark with offices in Wall, Mt. Laurel, and West Trenton.

Horizon BCBSNJ provides a broad array of health and dental insurance products and services for individuals and small and large companies, including national companies headquartered in New Jersey.  Horizon BCBSNJ is committed to improving the health care experience for all the communities we serve as well as helping our members become and stay healthy.

Horizon BCBSNJ is an independent licensee of the Blue Cross Blue Shield Association.