Texas hospitals to pay $20.9M after alleged kickbacks to physician groups

Three Ascension affiliated hospitals will pay millions for allegedly violating physician self-referral and anti-kickback laws.

The health system self-disclosed to HHS' Office of Inspector General about multiple instances of paying physician practices above market value for services, according to an April 30 statement. Click here to read more.

Five details:

1. The system reported that Austin-based Dell Seton Medical Center and Round Rock-based Ascension Seton Williamson allegedly paid orthopedic surgeons above market value for on-call coverage. Dell Seton Medical Center also allegedly paid a physician practice in Austin, Texas, above fair market value for on-call coverage.

2. Ascension Seton Medical Center Austin allegedly paid a physician practice above market value for transplant on-call and administrative services. The hospital also allegedly paid above fair market value for a physician practice to cover administrative services for its thoracic program.

3. The system reported that Ascension Seton Medical Center allegedly provided a physician practice with free physician assistants, office space, staff and supplies for the practice physicians to perform clinical services on one half day per week.

4. Ascension Seton Williamson allegedly paid a physician practice above fair market value to lease employed registered nurses and surgical technologists.

5. The hospitals paid $20.9 million for making the payments above market value.

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