Physician Law Blog

On May 7, 2015, the Department of Justice reported settlement with 16 separate hospitals for medically unnecessary or unreasonable psychotherapy services. The claims under scrutiny were Intensive Outpatient Psychotherapy (IOP) services, which represent a variety of treatment methods. The services, while billed to Medicare by the providers, were performed on the providers’ behalf by Allegiance health Management, a post-acute healthcare management company. 

DaVita HealthCare Partners said it will pay $389 million to settle criminal and civil anti-kickback investigations and plans to end joint ventures with kidney doctors involving 28 dialysis clinics. A statement DaVita released Tuesday said the settlement will include payment of about $389 million, the appointment of an independent compliance monitor and new restrictions on some of the joint ventures it has reached with nephrologists. The company also said it will enter into a corporate integrity agreement, a standard practice in such settlements.