McAllen, Texas-based Valley Heart Consultants has agreed to pay $3.9 million to settle a suit alleging violations of the False Claims Act.
The lawsuit alleged from Jan. 1, 2004, to Sept. 2010, two physicians at VHC violated the False Claims Act by billing Medicare for nuclear stress tests and physical examinations which were allegedly substandard. Many of the nuclear stress tests were allegedly unnecessary as well as many of the coronary angiographies, echocardiograms and carotid doppler studies which were all billed to Medicare, according to a Department of Justice report.
This settlement "once again demonstrates our commitment to uncover fraud and abuse that threatens the financial health of our federal healthcare programs," said U.S. Attorney Kenneth Magidson, in the news release.
The investigation leading to the settlement began in 2007 after two former employees of VHC filed a whistle-blower lawsuit, according to the report.
Although VHC and the physicians involved have agreed to settle this lawsuit, they deny liability and this settlement is not an admission of guilt on their part.
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