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Health System Settles Overpayment Claims With Feds for $7.75 Million |
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Written by Stephanie Wasek
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Thursday, 15 May 2008 |
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Baptist Health South Florida Inc., a healthcare system headquartered in Miami, has agreed to pay the United States $7,775,000 to settle claims that it violated the False Claims Act and the Stark Statute between 2003 and 2005, by paying excessive compensation to an oncology group that was a source of patient referrals to two of Baptists hospitals, the U.S. Department of Justice has announced. The settlement resulted from the company's disclosure to the Department of Health and Human Services Office of Inspector General.
The payments were made pursuant to a contract under which the oncology group provided physics and dosimetry services to the two hospitals, says the Justice Department. Under the Stark Statute, Medicare providers like Baptist are prohibited from billing the federal health care program for referrals from doctors with whom the providers have a financial relationship, unless that relationship falls within certain exceptions.
In February 2006, Baptist submitted a report to the OIG that described a contract under which Oncology Hematology Group of South Florida, a community-based medical group, provided physics and dosimetry services to Baptist Hospital of Miami and South Miami Hospital, two facilities owned by Baptist. In its report, Baptist stated that for a period of time between 2003 and 2005, it had inadvertently violated the Stark Statute by paying more than fair market value for the oncology group's services, says the Justice Department.
"The resolution of this matter yielded a substantial recovery for taxpayers, and it underscored our commitment to vigorous enforcement of the Stark Statute," says Gregory G. Katsas, acting assistant attorney general for the departments civil division.
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