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Article: Texas Hospital Group Pays U.S. $27.5 Million to Settle False Claims Act Allegations.
- Article from:
- Managed Care Weekly Digest
- Article date:
- November 16, 2009
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A hospital group based in McAllen, Texas, has agreed to pay the United States $27.5 million to settle claims that it violated the False Claims Act, the Anti-Kickback Statute and the Stark Statute between 1999 and 2006, by paying illegal compensation to doctors in order to induce them to refer patients to hospitals within the group, the Justice Department announced. McAllen Hospitals L.P., d/b/a/ South Texas Health System, is a subsidiary of Universal Health Services Inc., a company based in Pennsylvania that owns hospitals and other health care centers around the country (see also Medicare and Medicaid).
The settlement announced involved allegations that the ...