The $137.5 million deal with the Department of Justice is a preliminary settlement and will settle ongoing investigations by the DOJ into possible fraud by the insurer.
WellCare agreed to pay $80 million last year to settle an investigation by the Florida Attorney General into alleged fraudulent billing to the Florida Medicaid program.
The class action suit was filed by stockholders after the company’s stock lost value following the Attorney General’s raid of the company’s headquarters in 2007, according to a report by the St. Petersburg Times.
