Kantor & Kantor Files Federal RICO Complaint Against Health Net, Centene Corporation, and Manatt, Phelps & Phillips Partners

For Immediate Release
May 7, 2020

Kantor & Kantor, LLP and Dawson & Rosenthal, P.C. FILED A COMPLAINT in the United States District Court, Central District of California on behalf of their client Sovereign Health, a Gold Star Award winning healthcare provider that treated mental health, substance abuse, and dual diagnosis patients . The $1.125 billon suit alleges that Health Net, Centene Corporation, attorneys from Manatt, Phelps & Phillips, and others engaged in practices that are in violation of the Racketeer Influenced and Corrupt Organizations Act (RICO); Conspiracy to Violate RICO; Intentional Interference with Prospective Economic Advantage, Violation of Unfair Competition Law; and Slander.

In March of 2016 Centene Corporation acquired Health Net. The complaint explains that, nearly a year later, it was finally disclosed that Health Net had incurred $390 million in liabilities that were not properly accounted for or disclosed. The complaint illustrates how the defendants devised and executed a multi-layered scheme to avoid paying legitimate health care claims to out of network substance abuse providers. The complaint also alleges that defendants specifically targeted Sovereign Health by, among other things, making misrepresentations to federal law enforcement. Sovereign Health was forced to close its multiple locations in July 2018.


About Kantor & Kantor, LLP

Kantor & Kantor, LLP is one of the most experienced and highly respected law firms in the nation dealing with litigating insurance claims against insurance companies. Our firm also has extensive experience with the complex appeals procedure and Federal Court litigation of ERISA matters.

About Dawson & Rosenthal, P.C.

Dawson & Rosenthal, P.C. represents individuals who have been unfairly denied compensation for insurance claims related to health care, auto insurance, homeowners insurance and commercial liability insurance.


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