DermTech resolution provides a $5.04 million bankruptcy claim over unreliable test allegations

What happened

On August 26, DOJ announced a False Claims Act resolution involving the former DermTech Inc., now DTech Liquidating Inc. after its June 2024 Chapter 11 filing. The United States received an Allowed Class Three General Unsecured Claim of $5,038,011 in the bankruptcy proceeding. That describes a recognized claim against the estate, not proof that the government collected the stated amount. The allegations concerned unreliable skin-cancer tests billed to Medicare and reported to patients. DOJ expressly distinguishes the bankrupt company from DermTech LLC, which purchased assets in 2024; the resolved claims do not pertain to that purchaser.

The release describes two separate testing problems. From October 2022 through March 2023, DermTech allegedly used an unvalidated positive-control range for one of two key melanoma markers. From January 2020 through February 2022, it allegedly generated positive or negative results despite insufficient patient RNA. DOJ also alleges that results were not retracted and Medicare was not adequately refunded when concerns arose. A former employee’s whistleblower action is included in the resolution; the relator is to receive 20% of the recovery actually received from bankruptcy. The payment mechanism, affected test periods and distinction between corporate entities limit what can be inferred from the headline amount. No liability determination was made.

Why it matters

Laboratory quality concerns can create linked obligations around result validity, patient communication and billing review. Bankruptcy claim value must be distinguished from cash recovery, and an asset purchaser should not be identified as the settling entity when the release excludes it.

Case details

agencies

U.S. Department of Justice, Civil Division, U.S. Attorney Office, Southern District of California, Federal Bureau of Investigation, HHS Office of Inspector General

entities

DermTech Inc., now DTech Liquidating Inc.

action Type

Settlement

event Date

2026-08-26

alleged Conduct

Alleged billing/reporting of tests using an unvalidated positive-control range during October 2022 through March 2023 and insufficient RNA during January 2020 through February 2022, followed by alleged failures to retract results or adequately refund Medicare.

resolution

Allowed Class Three General Unsecured Claim of $5,038,011 in bankruptcy, announced August 26, 2026; cash recovery not established. Relator receives 20% of recovery actually received. Claims do not pertain to 2024 asset purchaser DermTech LLC, and liability was not determined.

Operational lessons

• Connect test-quality escalation with result validity, communication and billing review.
• Distinguish an allowed bankruptcy claim from money recovered.
• Identify the actual settling entity and preserve express purchaser exclusions.

Related coverage

Laboratory quality escalation, claim accuracy and any refund review also affect Medicare operations. Medicare & Medicaid →

Sources

• DermTech Inc. to Pay Up to $5M to Resolve Allegations It Submitted False Claims to Medicare for Unreliable Skin Cancer TestsOfficial · U.S. Department of Justice, Office of Public Affairs · 2026-08-26 · Source review 2026-09-06