Stericycle agrees to $2.4M settlement in NY

Medical waste company Stericycle agrees to $2.4 million settlement in New York

ALBANY, N.Y. (AP) -- New York Attorney General Eric Schneiderman says medical waste company Stericycle Inc. has agreed to a $2.4 million settlement after overcharging more than 1,000 local agencies, including schools, police departments, rescue squads and jails.

Schneiderman says Lake Forest, Ill.-based Stericycle charged automated price increases for its services and didn't give the local agencies notice of the changes. He said the increases violated the company's contract with the agencies.

The New York settlement is part of a national whistleblower complaint filed in federal court in Chicago.

Under the settlement, the local governments will receive checks from Stericycle, a total of $820,000 in all. The company also agreed to discontinue its automatic increases.