New York Heart Center to pay $1.34 million to settle FCA, Stark Law allegations

New York Heart Center in Syracuse, N.Y. has agreed to pay the government $1.34 million to resolve allegations the group practice compensated physicians in a manner that violated the False Claims Act and the Stark Law, according to the Department of Justice.

The government alleged NYHC determined partner-physician compensation using a formula that took into account the volume of referrals for nuclear and CT scans the physician was driving into the practice. The alleged violations occurred from September 2007 to August 2008.

U.S. Attorney for the Northern District of New York, Richard S. Hartunian, said the settlement is "another example of this office's commitment to ensure that services paid for by federal healthcare programs are based on the best interests of patients rather than the financial interests of referring physician."

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