The nation 's largest suppliers of HIV and AIDS medical care is accused of bilking Medicare and Medicaid in an elaborate $ 20 million dollar scam that spanned 12-states , according to a lawsuit filed in South Florida federal court . Three former managers of the AIDS Healthcare Foundation filed a suit last week alleging the company paid employees and patients kickbacks for patient referrals in an effort to boost funding from federal health programs . Employees were paid $ 100 bonuses for referring patients with positive test results to its clinics and pharmacies . The lawsuit alleges kickbacks started in 2010 at the company 's California headquarters and spread to programs in Florida and several other locations . Lawsuit : Three former managers of the AIDS Healthcare Foundation filed a suit last week alleging the company paid employees and patients kickbacks for patient referrals in an effort to boost funding from federal health programs ( file photo ) The Los Angeles-based company cares for more than 400,000 patients in 36 countries and is leading a mass testing initiative to identify and treat an estimated 25 million people who do n't know they are infected , according to its website . The referrals were key to the company 's business model and touted by AHF President Michael Weinstein at a 2013 leadership summit , where the complaint alleges he specifically directed staff to immediately raise the patient financial incentive to $ 50 and to implement the incentive program nationally throughout the organization . Weinstein said small incentives for linking people to services and keeping them there are 'mainstays of public health interventions . ' 'Not only has AIDS Healthcare Foundation done nothing wrong , our pro-active approach to finding and linking HIV-positive individuals to lifesaving care and treatment is critical to stopping HIV in this country , ' Weinstein said in a statement . He noted that the federal government and state of Florida formally declined to intervene in the legal action , which he says 'speaks volumes about the merits of the case . ' Former managers Jack Carrel of Louisiana , Mauricio Ferrer of Florida , and Shawn Loftis of New York , filed the whistleblower complaint . The three were fired from the company after notifying their supervisors about the company 's alleged wrongdoing , even though their attorneys said they are protected under the False Claims Act . Denial : AIDS Healthcare Foundation president Michael Weinstein ( seen in 2012 ) said in a statement the company has 'done nothing wrong '
Three former managers of the Health Healthcare Foundation filed a lawsuit . They alleged the company paid doctors and patients kickbacks for patient fees in an effort to boost funding from federal health programs . Employees were paid $ 100 bonuses for providing patients with positive test results to its clinics and pharmacies . The lawsuit alleges having begun in 2010 at the company 's California headquarters and extends to programs in Florida and several other locations .