IntegraLabs, Inc., a laboratory based in Tennessee, has agreed to pay $208,624.40 to resolve allegations of improper billing to the West Virginia Medicaid Program. The payment will be split between the United States and the State of West Virginia.
The settlement follows a joint investigation by the U.S. Attorney’s Office for the Northern District of West Virginia and the Office of the West Virginia Attorney General, Medicaid Fraud Control Unit. Authorities allege that Integra submitted claims for medically unnecessary testing over a two-year period. Specifically, it is claimed that Integra billed for specimen validity testing that was not permitted under Medicaid rules.
“This joint effort between the Department of Justice and the State of West Virginia is an example of a successful federal and state partnership which yielded real results in combatting fraud, waste, and abuse,” said U.S. Attorney Matthew L. Harvey. “I commend the investigative team for its skillful work in this matter and look forward to future cooperative endeavors to protect the West Virginia Medicaid program.”
Attorney General McCuskey added: “We are committed to protecting the integrity of West Virginia’s Medicaid program and this settlement reflects that commitment and what is possible when state and federal partners work together. Fraudulent billing robs taxpayers and hurts the patients the program is designed to serve — and we will continue to pursue those who abuse it.”
Integra provides laboratory services such as drug testing and participates in the West Virginia Medicaid Provider network.
The case was handled by Assistant U.S. Attorneys Christopher Prezioso and Jordan V. Palmer on behalf of the United States. The investigation involved cooperation among several agencies including the Department of Justice; West Virginia Attorney General’s Office, Medicaid Fraud Control Unit; U.S. Department of Health and Human Services Office of Inspector General; and West Virginia Bureau for Medical Services.
Authorities noted that these are only allegations at this stage, with no determination yet made regarding liability.
Funding for the West Virginia Attorney General Medicaid Fraud Control Unit comes primarily from federal sources, with 75 percent provided by a grant from the U.S. Department of Health and Human Services totaling $3,094,936.70 for fiscal year 2026; state funds cover the remaining 25 percent at $1,031,645.56 for FY 2026.
