HCA Fined $16.5M Over Whistleblower FCA Kickback Claims

Law360, New York (September 19, 2012, 5:28 PM EDT) -- Hospital chain HCA Holdings Inc. will pay $16.5 million to resolve whistleblower allegations that it defrauded Medicare and Medicaid and breached the False Claims Act and Stark Law by paying kickbacks in exchange for patient referrals, the U.S. Department of Justice said Wednesday.

The accusations against Tennessee-headquartered HCA, one of the country’s largest hospital companies, involve Chattanooga-based subsidiary Parkridge Medical Center Inc., which the DOJ said paid above-market rent for office space at a local diagnostic center and released the center’s members from a separate lease...
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