Medicare Compliance & Reimbursement

Industry Notes:

15 Texas Physicians Settle Health Fraud Trifecta With Feds

A Justice Department investigation led to a massive $2.8 million settlement for 15 Texas doctors.

Details: In a recent case, the Department of Justice alleged the 15 physicians engaged in kickbacks and violated three separate laws: the False Claims Act, the Anti-Kickback Statute, and the Stark Law. According to the DOJ, the doctors ordered lab tests as part of a kickback scheme with nine separate management service organizations, each banking thousands that “were allegedly disguised as investment returns but in fact were based on, and offered in exchange for, the doctors’ referrals,” DOJ continues.

Don’t forget: “The Anti-Kickback Statute prohibits offering, paying, soliciting or receiving remuneration to induce referrals of items or services covered by Medicare, Medicaid and other federally-funded programs,” the DOJ reminds. “The Stark Law forbids a hospital or laboratory from billing Medicare for certain services referred by physicians that have a financial relationship with the hospital or laboratory.”

Check out the logistics of the case at www.justice.gov/opa/ pr/fifteen-texas-doctors-agree-pay-over-28-million-settle-kickback-allegations.