Federal judge upholds ruling blocking Cigna

MIAMI (AP) -- A federal judge refused Friday to reverse his decision blocking Cigna from pursuing a settlement with the nation's doctors in an Illinois court over allegations that their claims are routinely underpaid.
Lawyers have been fighting over which judge should police the preliminary settlement since it was announced in November.
U.S. District Judge Federico Moreno's refusal to stay his injunction leaves the settlement on hold until a federal panel decides which court should have jurisdiction. The panel is to meet Jan. 28, and attorneys on both sides of the case said its decision could take an additional one to two months.
Philadelphia-based Cigna, the nation's third-largest insurer, intended the Illinois case to settle racketeering and fraud allegations by doctors who claim they are routinely cheated by insurers on reimbursement for services to patients.
Moreno has been assigned to handle a larger pool of 700,000 doctors' lawsuits making the same allegations against Cigna and other businesses in the managed care industry.
In East St. Louis, Ill., U.S. District Judge G. Patrick Murphy indicated Monday he was impressed with the Cigna settlement, although medical societies from 17 states announced objections.