NeuroMetrix paid physicians in the form of free boxes of disposable biosensors for use with the company’s NC-stat System to encourage the physicians to recommend the device to colleagues. NeuroMetrix also allegedly caused physicians to seek reimbursement using a higher valued CPT code under certain circumstances when physicians performed a nerve conduction study using the NC-stat System.
Of the $3.7 million, NeuroMetrix will pay $1.2 million as a criminal penalty after admitting that it provided the free biosensors; the remaining $2.5 million settles the kickback and fraudulent up-coding allegations.
Read the U.S. Attorney’s Office news release about the $3.7 million NeuroMetrix penalty.
Read the NeuroMetrix news release about the NeuroMetrix settlement.
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.
