3 Tennessee providers pay $1.7M to settle false claims allegations

Three spine care providers in Tennessee agreed to pay a total of $1.72 million to resolve allegations they submitted improper claims to Medicare and TennCare for electro-acupuncture using a device that does not qualify for reimbursement, the Department of Justice announced Jan. 4.

The accused providers are Goodlettsville-based Affiliated Neurologists, Murfreesboro-based Total Family Health & Wellness and Cookeville-based Chiro2Med of Tennessee. 

From May 2016 to November 2018, they allegedly submitted improper claims for periarticular stimulation — or P-stim — devices.

In June, the state brought a suit against James Anderson, MD, Affiliated Neurologists' owner. He agreed to pay the U.S. and Tennessee $1 million over five years and signed an integrity agreement with the HHS Office of the Inspector General, which requires his billing practices to be monitored consistently for the next three years.

Over the next five years, Total Family has agreed to pay the U.S. $700,000, and Chiro2Med will pay $20,000.

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