According to the federal government, MedNet entered into fee-for-service agreements with hospitals and physician clinics from March 15, 2006, through Jan. 31, 2014. MedNet charged the customers a fee for two types of cardiac monitoring services: event monitory and telemetry. MedNet allowed the customers to bill Medicare for the same services and keep the reimbursement, which resulted in a net profit to the hospitals and physician clinics.
The government claims these agreements violated the federal Anti-Kickback Statute. MedNet entered into these agreements with hospitals and clinics to induce referrals for MedNet’s services, according to the DOJ.
More articles on healthcare industry lawsuits:
5 latest healthcare industry lawsuits, settlements
Judge approves Connecticut hospital’s $107M pension fund settlement
Armed man reportedly impersonated Virginia Mason employee to steal patient information
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.
