IBM to pay $14.8 million to settle Maryland false claims allegations

IBM to pay $14.8 million to settle Maryland false claims allegations

por Thomas Dworetzky, Contributing Reporter | June 19, 2019
Business Affairs

The claims resolved by the settlement remain allegations only, with no determination of liability. An IBM spokesman told The Wall Street Journal that the company denies DOJ claims. “We have agreed to the settlement to avoid further delay and the expense of protracted litigation in this six-year dispute,” he said.

The primary contractor in the creation of the health exchange website, Noridian Healthcare Solutions, settled with the state for about $45 million for its role in the failed web development effort, according to the paper.


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IBM is making moves in a number of healthcare-related sectors. In January, for example, it made news when Aetna, Anthem, Health Care Service, and PNC Bank announced a collaboration with “Big Blue” on a healthcare blockchain “ecosystem.”

“Blockchain's unique attributes make it suitable for large networks of members to quickly exchange sensitive data in a permissioned, controlled, and transparent way,” Lori Steele, general manager for Healthcare and Life Sciences for IBM, said at the time. “The fact that these major healthcare players have come together to collaborate indicates the value they see in working together to explore new models that we think could drive more efficiency in the healthcare system and ultimately improve the patient experience.”

The goal is to improve transparency and interoperability in the industry — major stumbling blocks at present — by using a blockchain network to create both a secure and shared environment for data transfer.

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