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Medical Kickback Allegations Require a Robust Defense

On Behalf of | Mar 15, 2022 | White Collar Crimes

There are strict federal regulations that govern the modern health care industry. Physicians and employees at hospitals or medical practices who run afoul of federal or Pennsylvania state laws could face prosecution or even the loss of their state licensing.

Kickbacks are payments made from one party to thank them for referrals or ongoing business. Although many people view kickbacks as a sort of a customer loyalty system or incentive program for professionals making recommendations to their patients and clients, they can easily be a source of corruption in the medical industry.

As such, those accused of offering or accepting kickbacks could face prosecution. Only with an aggressive defense can people implicated in kickback schemes avoid the possible consequences.

The federal government aggressively prosecutes kickback claims

Allegations of kickbacks could lead to a federal investigation. If there is a paper trail validating someone’s allegations of inappropriate financial practices, a health corporation or individual employees at that business could potentially face prosecution.

The federal courts in Philadelphia recently announced a massive settlement related to fraudulent billing practices that constitute a kickback under federal laws. The situation involved the False Claims Act and Medicare Part D. The company found a way to waive or refund a patient’s copay obligations in violation of the laws on the matter. The settlement requires that the company pay a staggering $260 million.

On a smaller scale, a physician or administrative professional who always recommends the same physical therapy office or drug rehabilitation facility could face kickback allegations if they get any sort of gifts from the other facility involved.

How do you defend against kickback-related charges?

Those facing allegations related to inappropriate billing practices or corruption can take different approaches to their defenses depending on the situation.

Financial records could help you prove that you didn’t receive anything of significant consideration from the facility or professional allegedly involved. Medical records could help show that the people you referred out actually had positive results and could help show that your motive was for treatment and not because of personal benefit for you.

A careful review of your professional records and finances could help determine the best defense strategy given your circumstances. Fighting back against white-collar criminal allegations involving an alleged kickback scheme can protect your reputation and your finances.

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