Corporate Compliance

Hospital group and former member to pay $108 million for Medicare and Medicaid fraud

Compliance Monitor, May 26, 2010

The Health Alliance of Greater Cincinnati and one of its former member hospitals, The Christ Hospital (Christ), will pay the United States $108 million to settle anti-kickback statute and False Claims Act violations, according to a Department of Justice (DOJ) press release.

Christ, a 555-bed acute care hospital located in Mount Auburn, OH, allegedly reserved the use of its Heart Station—an outpatient cardiology unit—to cardiologists who referred patients to the hospital. According to the DOJ, the cardiologists who were rewarded with additional time in the Heart Station contributed to at least 2% of Christ’s yearly gross revenue.

Harry Fry, MD, filed the case under the qui tam provisions of the False Claims Act. Fry, a former cardiologist from Christ, will receive $23.5 million from the settlement.

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