MISSOULA, Mont. —

A federal jury ruled Wednesday that a health clinic in a Montana town where hundreds of people have died from asbestos exposure submitted 337 false asbestos claims that made patients eligible for Medicare and other benefits they shouldn't have received.

The seven-person jury said that the fraudulent claims caused more than $1 million in damage to the government.

The case focused on the Center for Asbestos Related Disease in Libby, Montana. BNSF Railway filed a lawsuit against the clinic under the federal False Claims Act in 2019.

The railroad company owned by billionaire Warren Buffett is also a defendant in numerous lawsuits over its own role in the town's contamination. In 2020, Montana's Supreme Court found BNSF liable for shipping asbestos-tainted vermiculite from a nearby mine through Libby.

The clinic and its high-profile doctor, Brad Black, have been at the forefront of efforts to help residents of the town, which came to national prominence when it was declared a deadly Superfund site two decades ago.

The jury's finding leaves the clinic subject to additional penalties. Under the False Claims Act, the railway could be eligible for 15% to 25% of any amount recovered by the government.

CARD and its attorneys had denied it made false medical claims on behalf of patients, arguing its diagnoses were in line with requirements of the 2010 Affordable Care Act, which included special provisions for the Libby victims.

"CARD was doing exactly what the law said," clinic attorney Tim Bechtold said earlier Wednesday during closing arguments that followed 11 days of testimony.

BNSF's lawsuit alleged CARD submitted more than 300 false claims on behalf of patients without getting outside confirmation that they had asbestos-related disease. The company also said 1,369 people received federal benefits with no disease diagnosis.

Dr. Black and the CARD clinic have certified more than 3,400 people with asbestos-related diseases, according to court documents.

Asbestos-related diseases can range from a thickening of a person's lung cavity, hampering breathing, to deadly cancer. Under the 2009 federal health law, victims of asbestos exposure in the Libby area are eligible for taxpayer-funded services including Medicare, housekeeping, travel to medical appointments and disability benefits for those who can't work.

Dr. Black is a pediatrician by specialty and has served as the Lincoln County Health Officer. He has previously said the ailments caused by the type of asbestos found in Libby are difficult to detect and can be missed by outside radiologists.

BNSF attorney Adam Duerk criticized Black's stated ability to perceive early signs of asbestosis disease that others missed.

"That's not the practice of medicine, that's the practice of roulette," Duerk said. "When you see it, when you're certain it's there, that's when you diagnose, not before."

Former Democratic U.S. Sen. Max Baucus, of Montana, helped craft the Libby provision in the health law. He said in depositions with attorneys that the clinic's practice of declaring some patients eligible for benefits without confirmation of their condition from a secondary source such as an X-ray was legitimate.

However, U.S. District Judge Dana Christensen barred Baucus's statements from the trial, saying it was the court's role to decide whether the law was followed.

At least 400 people have been killed by asbestos-related disease in the Libby area, according to health officials. Because of the long latency period for those diseases, symptoms can take decades to develop.

The tainted vermiculite came from a mine owned by the Maryland-based chemical company W.R. Grace. It polluted the Libby area over decades, including at a BNSF railway yard in the heart of the town of about 3,000 people.

Cleanup work began in 2000 after media reports of widespread health problems spurred a federal investigation. The EPA years later declared the agency's first public health emergency in the town. More than $600 million was spent to remove vermiculite from thousands of properties in Libby and surrounding communities.

Scientists say exposure to even a minuscule amount of asbestos can cause lung problems.

The case was sealed under court order for two years until the U.S. attorney's office of Montana declined to intervene. Officials have not given a reason.

Asbestos-tainted vermiculite was used as construction material in Libby and it remains inside many houses, where it was used as insulation. It was also shipped across the country by BNSF and installed in millions of homes.

Lawsuits against companies and officials over the contamination in Libby have resulted in large settlements and awards for victims.

More than 2,000 Montana residents reached settlements with the state totaling $68 million for failing to warn them about the dangers of asbestos exposure. In February 2022, a jury awarded an Oregon man $36.5 million in a lawsuit against W.R. Grace's insurer.

A small-town restaurant that survived COVID-19 is fighting to stay open after being hit with something that has been even more devastating – a case of fraud.

“I'm angry because I've always wondered how people can let people take advantage of them and then I fell for that,” said Diane Korner.

Korner is the owner of Korner Kountry Kitchen in Brookville, Indiana. She said a case of fraud cost them more than $100,000.

“I’m hurt that somebody would do this to us and make us struggle,” Korner said.

The restaurant was having trouble making payroll for the 25 employees and was a matter of hours from closing when things took an unusual turn.

The community came together to raise about $10,000. It’s not enough to bail the restaurant out, but it has kept its doors open.

“It's amazing,” said Kountry Kitchen general manager Amanda Merritt. “We've had phone calls, messages, there was a GoFundMe. They've helped with their donating.”

The money came from individuals around town who don’t want the restaurant to close.

“We come two to three times a week,” said James Wagner, who drives about 10 miles to get to the restaurant.

Wagner said it’s not just the food, but the small-town flavor of the business that keeps him coming back. Before his wife died, he would bring her to the restaurant. He said one day he was cutting up a salad to make the pieces smaller for his wife.

“So, Diane came over and said, ‘What are you doing?’” Wagner said he explained the situation. “From then on, she told the girls, anytime my wife ordered a salad, you make sure you got to cut it up real fine. She took care of my wife.”

Those kinds of details are not overlooked in a small town.

Korner said she is unable to talk about the details of the fraud case, but that local, state and federal authorities are looking into the crime.

STANTON, Iowa — Small towns are often known for their charm and community spirit.

Jenna Ramsey is the community development director of Stanton. It's a small town located in southwest Iowa.

“Stanton is a small but mighty community with Swedish heritage," Ramsey said. "Our population is 689. Wherever you go, you know people. There’s no stoplights. You can run in and get a cup of coffee.”

While she says Stanton is a very affordable place to live compared to a larger city, it still lacks affordable housing for young families.

“We just know that all the costs of everything seem to be going up right now, so that is what makes the affordable housing challenging,” Ramsey said.

Small towns all over rural Iowa are facing the same issue. To keep the communities growing and thriving, they’re turning to innovative solutions like 3D-printed homes.

“We are building the first prototype 3D-printed home here in Hamburg, Iowa,” said Tamara Brunow, founder and president of Brunow Contracting.

Brunow is a key partner in the 3D Affordable Housing Project.

“I'm very passionate about affordable housing because I needed affordable housing at one point in my life," Brunow said. "I was a single mom for 13 years and I had the luxury of having a house that was fairly affordable to me. What we're seeing right now in the housing industry, the starting point, the entry point is so cost-prohibitive to young families and a lot of areas, they're just not going there.”

On an empty patch of land in Hamburg, the hope is to build 25 to 35 residential units that will be for sale to future homeowners. The 3D Affordable Housing Project is a collaboration between Brunow Contracting, Iowa Economic Development Authority, and Iowa State University.

Julie Robison works in the college of design at Iowa State University. She says it will be a learning process to find out whether 3D-printed homes will actually save money.

“Part of our work is going to be to actually answer that question, what are the benefits of 3D printing?" Robison said. "We think that you can reduce the amount of time that it takes to actually construct homes, that you can seriously reduce the amount of time and labor hours to put up walls.”

Brunow says they will be testing materials, design, and energy efficiency to confirm if using 3D-printing technology will be a sustainable solution for affordable housing in rural Iowa.

“The places 3D-printed homes have been implemented right now, are in the South," Brunow said. "They don't have the swing and temperature difference that we do up here in the Midwest. So we deal with a lot of freeze-thaw. We have wind loads, snow loads. So all of that engineering has to kind of go back to the basics.”

If it does work out, they hope to expand into other small towns around Iowa, potentially serving as a national model for the entire Midwest. Robison says the project will also allow the university to develop a curriculum for workforce training to help educate the next generation.

“Our mission is transformation and research and technology-driven outcomes that can then change the economy and change lives,” Robison said.

Even though technology will be what draws people to the small towns, it’s the human connection that will keep them there.

“Especially since the pandemic, people want that sense of community, they want to know who their neighbors are," Brunow said. "They want to be a part of something.”

 

DELHI, Ohio —

President Joe Biden will be landing at the Cincinnati-Northern Kentucky International Airport by Wednesday afternoon preparing to take part in a CNN Town Hall in Delhi Township.

It'll be the president's first visit to Cincinnati since he took office in January.

The visit has created a bit of a buzz around the city, and people said there are topics they hope will be clearly addressed.

The Brent Spence Bridge is at the top of the list for people in the city, as presidents have made promises before, but the bridge looks more bandaged up right now as it undergoes maintenance.

"We need it. It's long overdue," one man said.

It has been an eyesore and a cramp in our commute.

"That's a concern every day regardless of who is coming to town," a woman told us.

As Biden arrives in Cincinnati, people are hoping he will get a first-hand look and address the Brent Spence Bridge.

"It's really annoying, yeah," another woman we talked with said.

They're also bracing for the motorcade madness.

"I think I'm going to have to get out of town by noon to beat the traffic," another man said.

Biden is set to take part in the CNN Town Hall debate at 8 p.m. on Wednesday, speaking at Mount St. Joseph University, a Catholic university in Delhi Township.

It is expected to tackle topics including infrastructure, the economy, COVID-19 and slowing vaccinations.

People shared concerns about jobs, rising homicide rates, police reform and immigration.

"Some concerns about income inequality. I think that's becoming more obvious. Problems with people going back to work and people are really enjoying working from home," Ian Iliff said.

In Delhi Township, students said Mount St. Joseph University is buzzing with interest as satellite trucks are staged on campus.

"It just gives us a chance to actually get to know... what's going on and what his plans are for the U.S., and like, what he can do for students in general," student Destiny Chambers said.

When the president makes his first visit since taking office, people said they'll be watching for solutions, not speeches.

"I think it's really interesting to be part of a community that is so close to what is going on," Chambers said.

The Archdiocese of Cincinnati released a statement regarding the visit:

"Archbishop Dennis M. Schnurr has not been contacted by any involved party about the upcoming visit of President Joseph R. Biden to Cincinnati to participate in a CNN town hall meeting at Mount St. Joseph University. Archbishop Schnurr has therefore not been asked for, nor would he have granted, his approval for any such event to occur on Catholic premises. Mount St. Joseph University operates under the sponsorship of the Sisters of Charity and not under the direct oversight of the Archdiocese of Cincinnati."

Mount St. Joseph University also released a statement regarding the visit:

"We are humbled and honored that both CNN and the White House have recognized Mount St. Joseph University as an outstanding institution of higher learning that is capable and willing to host such an important event. The University has always been and will continue to be a diverse and inclusive place where people from different races, ethnicities, social backgrounds, beliefs, and religions can come together to discuss and share their unique perspectives. We look forward to introducing the Mount to a nationally televised prime time audience."