Monday, May 15, 2006

10 Million Dollar Penalty In HealthCare Case

A payment of ten (10) million dollars and the signing of a five (5) year Corporate Integrity Agreement are the terms in the settling of a case between the Office of the Inspector General (OIG) and Lincare Holdings Inc. and its subsidiary Lincare Inc. (Lincare).  According to a press release of OIG here, "[t]he settlement resolves allegations that Lincare paid illegal kickbacks and violated the Physician Self-Referral (also known as Stark) Law.

The press release reports this settlement as the "largest ever for OIG under its civil monetary penalty authorities." It states that "OIG alleged that Lincare engaged in a nationwide scheme to pay physicians kickbacks to refer their patients to Lincare."   The press release notes that Lincare "cooperated with OIG’s investigation that resulted in the settlement."


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