The lawsuit against Infirmary was initially filed in 2011 under the qui tam, or whistle-blower, provision of the False Claims Act, and the government later intervened in the case.
The lawsuit alleged IMC Diagnostic and Medical Clinic in Mobile, Ala., and IMC-Northside Clinic in Saraland, Ala., had agreements with Diagnostics Physicians Group to pay the group a percentage of Medicare payments for tests and procedures referred to the group in violation of the Stark Law and the Anti-Kickback Statute, according to a news release.
To settle the allegations, Infirmary and its affiliated-clinics have agreed to pay the government $24.5 million and enter into a corporate integrity agreement with HHS’ Office of the Inspector General.
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