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Illinois sues imaging centers, encourages other states to take a proactive approach to fraud detection

Compliance Monitor, November 21, 2007

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A case in Illinois signals growing concern over physician arrangements with imaging facilities and state's responsibility to detect and report such cases of fraud and abuse.

The Illinois Attorney General accused Golf Diagnostic Imaging Center and Northwest Corporate Imaging Center of allegedly paying doctors kickbacks in return for referrals. According to the lawsuit, the organization's allegedly charged doctors a rental fee at a percentage of the amount the centers billed insurers. Then after the insurers paid the claim, the facilities allegedly gave the referring physicians the extra payment, according to the American Medical News.

Experts say the government is looking to states more and more to help catch alleged fraud and abuse, and that this case is one of the largest examples of a state's effort to take control. This could signal similar cases in other states according to the American Medical News article.

"As you see more evidence come to light, more states are going to start looking under the rocks," said Thomas R. Hoffman, associate general counsel for the American College of Radiology.

To read the article click here

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