Rose Radiology Centers agrees to pay more than $8 million after numerous allegations

Rose Radiology Centers has agreed to pay $8.71 million to the government for violating the False Claims Act, the U.S. Attorney’s Office for the Middle District of Florida announced.

The company billed federal healthcare programs for procedures “that were not medically necessary or furnished in violation of applicable Federal regulations.”

“This settlement resolves myriad allegations involving standards of medical care, false billing practices, and breaches of trust,” U.S. Attorney A. Lee Bentley, III, said in the official U.S. Attorney’s Office statement. “There is no room for such practices in our public health care programs. We will continue to do everything within our power to protect the public against such violations, when and where they are found.”

Two separate whistleblowers originally filed a lawsuit against Rose Radiology and will receive a combined $1.7 million for their part in the case. The False Claims Act allows private parties to bring lawsuits on behalf of the government and then share some of the recovered funds.

This settlement resolves several different allegations against Rose Radiology. There were allegations that the company knowingly submitted false claims to federal programs by administering contrast dye during MRI scans without proper physician supervision, allegations that it billed for procedures referred by chiropractors, allegations that it would perform and bill for procedures that were never actually ordered, and allegations that it gave kickbacks to referring physicians.

“It is unconscionable for a physician to allow someone without the proper medical training to administer a test that could cause serious harm” Shimon Richmond, special agent in charge for the HHS Office of the Inspector General, said in the statement. “Not only do the kinds of frauds that were alleged in this case rob Medicare of needed funds, they threatened the health of elderly and disabled Americans.”

Rose Radiology has multiple locations in the Tampa area and is the “Official Radiology Practice” of the Tampa Bay Lightning National Hockey League team.

In 2015, the federal government put a significant amount of focus on cracking down on healthcare fraud, and that trend appears to have continued thus far in 2016. Additional coverage related to healthcare fraud can be found here.

Michael Walter
Michael Walter, Managing Editor

Michael has more than 16 years of experience as a professional writer and editor. He has written at length about cardiology, radiology, artificial intelligence and other key healthcare topics.

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