Owners of a New York-based radiology practice have agreed to pay $3.57 million to resolve allegations that they submitted false claims for MRI exams.
Imagimed's former owners, Dr. William Wolf III and Dr. Timothy Greenan, as well as the company's former chief radiologist, Dr. Steven Winter, allegedly submitted claims to Medicare, Medicaid, and the U.S. military's Tricare program for MRI scans performed with contrast without the direct supervision of a qualified physician between July 2001 and April 2008, according to the U.S. Department of Justice (DOJ).
Federal regulations require that a physician supervise the administration of contrast when it is used for MRI, due to the potential for anaphylactic shock.
Wolf, Greenan, and Winter also allegedly submitted claims for services referred to Imagimed by physicians with whom Imagimed had improper financial relationships. In exchange for these referrals, Imagimed entered into fake on-call arrangements, provided preauthorization services without charge, and provided gifts to referring physicians, in violation of the federal Stark law and antkickback statutes, DOJ said.
Imagimed owns and operates 15 MRI facilities, primarily in the state of New York.
The investigation and settlement were the result of collaboration between the U.S. Attorney's Office for the Northern District of New York; the Justice Department's Civil Division, Commercial Litigation Branch; and the U.S. Department of Health and Human Services' Office of Inspector General. Allegations resolved by the settlement were brought in a lawsuit filed under the False Claims Act's whistleblower provisions. The whistleblower in this case, Dr. Patrick Lynch, was a local radiologist and will receive $565,500, according to DOJ.
