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Center for Vein Restoration $4 Million False Claims Act Settlement, Who Gets Paid and Can Patients Claim?

There is no claim form, no claims administrator and no deadline for patients in the Center for Vein Restoration settlement. On March 20, 2026, the U.S. Attorney’s Office for the District of Maryland announced that CVR Management, LLC, the Center for Vein Restoration, Center for Vascular Medicine (CVM), LLC, and Sanjiv Lakhanpal, MD, FACS, agreed to pay $4 million to resolve allegations that they violated the False Claims Act by billing Medicare, Medicaid and TRICARE for medically unnecessary vein procedures.

The money goes to the federal government, participating state Medicaid programs and two whistleblowers. It does not go into a fund for patients. This is a government healthcare-fraud settlement that grew out of whistleblower lawsuits, not a consumer class action.

The government says the claims resolved are allegations only, and there has been no determination of liability.

Quick Facts: Center for Vein Restoration False Claims Act Settlement

DetailVerified information
Total settlement$4,000,000.00
DefendantsCVR Management, LLC; Center for Vein Restoration; Center for Vascular Medicine (CVM), LLC; Sanjiv Lakhanpal, MD, FACS
Announced byU.S. Attorney’s Office, District of Maryland (March 20, 2026)
State announcementsConnecticut Attorney General (March 20, 2026); Maryland Attorney General (March 24, 2026)
Main federal lawFalse Claims Act, 31 U.S.C. §§ 3729–3733
Programs billedMedicare, Medicaid and TRICARE
Procedures at issueSclerotherapy, radiofrequency ablation and endovenous laser ablation
Alleged conduct periodJanuary 1, 2010 – December 31, 2016
Federal share of the civil settlement$3,395,634.93
Total Medicaid recovery$604,365.07
Whistleblowers’ (relators’) share$752,000.00 combined
First whistleblower caseU.S. ex rel. Fulton v. CVR Management, LLC, et al., No. 15-cv-3591 (D. Md.)
Second whistleblower caseU.S. ex rel. Jane Doe v. Center for Vein Restoration, LLC, et al., No. 20-cv-1943 (D. Md.)
Public patient claim formNone announced
Patient claim deadlineNone announced
Liability findingNone. Allegations only

What the U.S. Attorney’s Office Alleged Against CVR Management and the Center for Vein Restoration

According to the Department of Justice, CVR knowingly submitted claims to Medicare, Medicaid and TRICARE over a six-year period for chronic venous insufficiency procedures that were medically unnecessary. The government identified three procedures: sclerotherapy, radiofrequency ablation and endovenous laser ablation.

CVR Management, LLC is a professional services corporation in Greenbelt, Maryland. It manages the Center for Vein Restoration, a multi-state group of physician-led vein practices that operates 16 locations in Maryland. The Center for Vascular Medicine is a related practice group with offices in Maryland, Virginia and North Carolina. DOJ identifies Dr. Sanjiv Lakhanpal as the entities’ CEO and president and as CVM’s chairman of the board.

Why Medicare, Medicaid and TRICARE Medical-Necessity Rules Were Central to the CVR Case

Chronic venous insufficiency happens when vein valves stop working properly, so blood pools in the leg veins instead of moving up toward the heart. DOJ describes symptoms that can include varicose veins, cramping, swelling and skin discoloration, and in some patients ulcers or skin necrosis.

The government’s position is that these programs do not cover varicose vein treatment done for cosmetic reasons alone. Treatment for chronic venous insufficiency must be accompanied by certain other conditions and must follow a specified period of alternative treatments that did not work.

The government did not say these procedures are improper in themselves. The allegation is that, between January 1, 2010, and December 31, 2016, CVR billed for procedures that were not clinically indicated and did not meet the programs’ coverage rules.

How the $4 Million Center for Vein Restoration Settlement Is Divided

DOJ reported the following allocation. These are parts of the same $4 million, not separate payments to be added together.

ComponentAmount
Total settlement$4,000,000.00
Federal share of the civil settlement$3,395,634.93
Total Medicaid recovery$604,365.07
Of the Medicaid recovery: participating states and D.C.$325,208.84
Of the Medicaid recovery: United States (federal Medicaid share)$279,156.23
Whistleblowers’ share (paid out of the proceeds)$752,000.00

Our arithmetic, for clarity: adding the federal civil share ($3,395,634.93) to the federal Medicaid share ($279,156.23) gives $3,674,791.16 for the United States, and the states and D.C. receive $325,208.84. Together that equals $4,000,000.00.

The state announcements add detail on individual shares. The Maryland Attorney General said Maryland, which led the state coalition, will receive $168,763.36, to be shared with the federal government. Connecticut will receive $114,280, according to reporting by Hartford Business Journal.

Which States Joined the CVR Management Settlement?

DOJ’s release refers to eight participating Medicaid states plus the District of Columbia. The Maryland Attorney General’s announcement names the coalition as Connecticut, Indiana, Maryland, Michigan, New Jersey, New York, Virginia and the District of Columbia. A National Association of Medicaid Fraud Control Units team led the state negotiations, according to Hartford Business Journal.

Why Karen Fulton and Jane Doe Receive $752,000 Under the False Claims Act

Karen Fulton and Jane Doe are both former CVR employees. They filed the lawsuits under the False Claims Act’s qui tam provisions, which let a private person sue on behalf of the United States and receive part of any recovery.

Under 31 U.S.C. § 3730(d), a whistleblower’s share generally falls between 15% and 25% of the proceeds when the government takes over the case, and between 25% and 30% when it does not. The $752,000 combined share equals 18.8% of the $4 million total. DOJ did not publish how the amount was split between the two relators or how it was calculated.

Center for Vein Restoration $4 Million False Claims Act Settlement, Who Gets Paid and Can Patients Claim?

Can Patients Claim Money From the Center for Vein Restoration False Claims Act Settlement?

No. The government announcements describe no public claims process for patients, and none has been announced.

  • Patients do not file a claim form to take part in this settlement.
  • Former Center for Vein Restoration patients are not automatically owed payments from the $4 million.
  • Medicare, Medicaid and TRICARE beneficiaries cannot claim a share just because their coverage paid for a vein procedure between 2010 and 2016.
  • The settlement does not establish that any individual patient’s procedure was unnecessary.

A patient who believes a specific procedure was unnecessary or caused an injury is dealing with a different question than the one this settlement resolved. That would be a separate claim based on the patient’s own records, and it would depend on state law, including time limits. This billing settlement does not by itself create a malpractice claim. A patient with those concerns can request their medical records and speak with a licensed attorney in their state.

Is the Center for Vein Restoration Data Breach Settlement Connected to This Case?

No. Center for Vein Restoration separately settled federal class-action litigation over a 2024 ransomware attack that exposed the personal information of more than 448,000 people. According to The Daily Record, U.S. District Judge Deborah L. Boardman granted final approval to that $3.5 million settlement in November 2025, and it took effect in December. That case has its own court, class definition and claims history, and it is unrelated to the False Claims Act allegations covered here.

What Laws Apply to the Center for Vein Restoration False Claims Act Settlement?

Federal False Claims Act, 31 U.S.C. § 3729

Section 3729 makes a person liable for knowingly presenting, or causing someone to present, a false or fraudulent claim for payment to the federal government. Liability under the Act generally means three times the government’s damages plus a civil penalty for each claim, with the penalty amount adjusted for inflation each year. In this matter, the government alleged that CVR billed for procedures that did not meet the programs’ coverage requirements. The settlement resolved that allegation without a trial.

Federal False Claims Act, 31 U.S.C. § 3730

Section 3730 sets out how False Claims Act cases are enforced, including qui tam lawsuits that start under seal so the government can investigate. The Fulton case was filed under seal in November 2015, according to the whistleblower’s counsel at JGL. Section 3730(d) governs the whistleblower’s share.

Medicare’s “Reasonable and Necessary” Requirement, 42 U.S.C. § 1395y(a)(1)(A)

Medicare generally does not pay for items or services that are not reasonable and necessary for diagnosing or treating an illness or injury. That medical-necessity standard is the backdrop for the government’s allegation that CVR billed for vein procedures that did not qualify for coverage. Medicaid and TRICARE apply their own coverage rules, which DOJ says also exclude cosmetic-only varicose vein treatment.

State False Claims Laws, Including Maryland

The Connecticut Attorney General said the settlement arises from a qui tam action originally filed in 2015 under the federal False Claims Act and various state false claims statutes. In Maryland, the Attorney General’s Medicaid Fraud and Vulnerable Victims Unit took part in the state resolution. The Maryland Attorney General’s announcement also states that the settlement resolves a second qui tam action, filed in 2018 in the U.S. District Court for the Eastern District of Pennsylvania and later consolidated into the Maryland case.

Timeline of the Center for Vein Restoration False Claims Act Case

DateEvent
January 1, 2010Alleged improper billing period begins
December 31, 2016Alleged improper billing period ends
November 2015Karen Fulton’s qui tam complaint filed under seal in the District of Maryland
2018Second qui tam action filed in the Eastern District of Pennsylvania, later consolidated into the Maryland case
November 2025Final approval of the separate $3.5 million CVR data breach class settlement
March 20, 2026DOJ and the Connecticut Attorney General announce the $4 million settlement
March 24, 2026Maryland Attorney General announces the settlement

The DOJ release lists the Jane Doe action under a Maryland docket number (No. 20-cv-1943, D. Md.), while the Maryland Attorney General describes its 2018 origin in Pennsylvania. Both sources agree that the two actions were resolved together.

How This Compares to Other Healthcare False Claims Act Settlements

AllAboutLawyer.com has covered other government healthcare-billing resolutions where no public claim form exists. One example is Stamford Doctor Steven Murphy’s $866,539 False Claims Act Settlement, How Suspended Medicare and Medicaid Payments Cover It and What the Three-Year Healthcare Exclusion Means, which shows how a physician’s settlement can also bring payment suspensions and exclusion from federal programs.

For a federal billing lawsuit that is still a lawsuit rather than a settlement, see Dr. Michael Neret Medicare Fraud Lawsuit Bay City, TX Doctor. For a Medicare Advantage resolution, see Independence Blue Cross $22.5M Medicare Advantage Settlement, No Consumer Claim Form.

Each of those matters has different defendants, allegations and terms. None changes the fact that the Center for Vein Restoration settlement has no patient claims process.

Frequently Asked Questions About the Center for Vein Restoration $4 Million False Claims Act Settlement

Is there a claim form or deadline for the Center for Vein Restoration settlement?

No. The settlement resolves government billing allegations under the False Claims Act, and no claim form, administrator or patient deadline has been announced.

Can I get a refund if I had vein procedures at Center for Vein Restoration between 2010 and 2016?

This settlement does not provide patient refunds. Any private claim over your own care would be separate from the government settlement and would depend on your records and your state’s law.

Which procedures did the U.S. Attorney’s Office say CVR Management billed improperly?

The government alleged that sclerotherapy, radiofrequency ablation and endovenous laser ablation procedures billed to Medicare, Medicaid and TRICARE between January 1, 2010, and December 31, 2016, were not clinically indicated and were medically unnecessary.

Does the settlement mean every Center for Vein Restoration vein treatment was unnecessary?

No. The allegations concerned particular claims and the coverage rules that applied during the covered period. The settlement does not find that every procedure was unnecessary.

Did a court find Center for Vein Restoration or Dr. Sanjiv Lakhanpal liable under the False Claims Act?

No. DOJ states that the claims resolved by the settlement are allegations only and that there has been no determination of liability. It is not a trial verdict or a criminal conviction.

Who are the whistleblowers in the Center for Vein Restoration False Claims Act case?

Karen Fulton and Jane Doe, both former CVR employees. Their combined share is $752,000. The public announcements do not give each person’s individual amount.

How much did Maryland and Connecticut receive from the CVR Management settlement?

The Maryland Attorney General said Maryland will receive $168,763.36, to be shared with the federal government. Connecticut will receive $114,280, according to Hartford Business Journal.

Is the Center for Vein Restoration data breach settlement the same as this settlement?

No. The data breach case was a separate federal class action over a 2024 ransomware attack, resolved by a $3.5 million settlement. It has no connection to the False Claims Act allegations.

Where can I read the official announcements about the Center for Vein Restoration settlement?

The U.S. Attorney’s Office for the District of Maryland, the Maryland Attorney General and the Connecticut Attorney General each published releases. Links are in the sources section below.

Primary Sources and Legal References

  1. U.S. Attorney’s Office, District of Maryland, Health Care Management Corporation Agrees to Pay $4 Million to Resolve False Claims Act Allegations, March 20, 2026.
  2. Maryland Attorney General, Attorney General’s Medicaid Fraud and Vulnerable Victims Unit Obtains $4 Million Settlement with Center for Vein Restoration to Resolve Allegations of Unnecessary Vein Treatment Procedures, March 24, 2026.
  3. Connecticut Attorney General, Center for Vein Restoration to Pay $4 Million to Resolve False Claim Allegations Arising from Billing Government Health Programs for Unnecessary Medical Procedures, March 20, 2026.
  4. HHS Office of Inspector General, Enforcement action listing for the March 20, 2026 settlement.
  5. U.S. Code, 31 U.S.C. § 3729, False claims and 31 U.S.C. § 3730, Civil actions for false claims.
  6. U.S. Code, 42 U.S.C. § 1395y, Exclusions from coverage.
  7. Hartford Business Journal, CT joins $4M settlement with vein clinic network over Medicaid billing fraud (Connecticut’s $114,280 share; state coalition).
  8. The Daily Record, Greenbelt vein clinic settlement coverage (data breach class settlement approval).
  9. JGL, $4 Million Paid by Vein Clinics to Settle Fraud Case Filed by JGL and Its Whistleblower Client (November 2015 sealed filing).

This article is for general information only and is not legal advice. AllAboutLawyer.com is a legal information website, not a law firm, and reading it does not create an attorney-client relationship. For questions about your own medical care or possible claims, consult a licensed attorney in your state.

Researched and written by Israr Ahmad, legal content researcher and founder of AllAboutLawyer.com. All facts verified against the U.S. Attorney’s Office for the District of Maryland press release, the Maryland Attorney General and Connecticut Attorney General announcements, and the statutory text of 31 U.S.C. §§ 3729–3730, as of October 26, 2026. Last Updated: October 26, 2026.

About the Author

Israr Ahmad is a legal content researcher with 4+ years of experience covering class action settlements and consumer rights cases. He has researched and published coverage of 2,500+ settlements using verified court records, settlement administrator filings, and government sources. Learn more about Israr.

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