Labs in Court

North Carolina Health System Principles Pay $900K to Settle False Billing Charges

Case: The owner and two managers of now defunct Carolina Comprehensive Health Network, PA (CCHN), a group of family medicine practices and pain management services providers in North Carolina, have agreed to fork over $900,000 to settle claims of falsely billing Medicare and Medicaid for medically unnecessary diagnostic tests and procedures. According to the complaint, CCHN submitted false claims for positional nystagmus testing, rotational axis testing, nerve conduction testing and autonomous nervous system testing over a six-month period in 2015.

 

Significance: This case began as a qui tam claim filed by a whistleblower. Although the details are sketchy, the government’s decision to intervene in the case was probably a decisive factor in persuading CCHN that it had come time to settle.

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