West Virginia hospital pays $1.5M to settle self-referral allegations

Weirton (W.Va.) Medical Center has agreed to pay $1.5 million to resolve allegations that it violated physician self-referral laws, the U.S. Justice Department said July 7.  

Stark Law prohibits a hospital from billing Medicare for services referred by physicians that the hospital has a financial relationship with unless the relationship fits into the law's exceptions. 

The settlement resolved the hospital's liability for paying compensation to referring physicians that allegedly either exceeded fair market value or took into account the physicians’ referrals to the hospital.

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