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Radiology Company Agrees to Pay $8.7 Million to Resolve False Claims Act Lawsuits

February 1, 2016

Rose Radiology Centers, Inc., a radiology company with thirteen offices in the Tampa Bay Florida area, agreed on January 29, 2016 to pay $8.71 million to settle allegations that it violated the False Claims Act.  The allegations were originally brought by two former employees of Rose Radiology in separate qui tam lawsuits.  The two qui tam whistleblowers will receive a combined $1.7 million as their share of the recovery.  The allegations accused Rose Radiology of billing for services that were not medically necessary, providing kickbacks to referring physicians, performing services at facilities that were not enrolled in the Medicare program and not providing the required level of physician supervision.  “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,” said Shimon Richmond, special agent in charge for the Health and Human Services Office of the Inspector General.

To report health care fraud, please contact Frohsin & Barger.

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