Two radiation oncologists in Pensacola, FL, will pay $3.5 million to the government and the state of Florida to resolve Medicare fraud allegations, according to the U.S. Department of Justice (DOJ).
The government alleged that between 2007 and 2011, Dr. Gerald Lowrey, Dr. Rod Krentel, and four co-defendants regularly billed Medicare, Medicaid, and the military Tricare program for radiation oncology services that were not supervised by a physician. In fact, these services were often performed while the doctors were on vacation or were working at another radiation oncology clinic, according to DOJ.
The defendants also include Gulf Region Radiation Oncology Centers, Gulf Region Radiation Oncology, Sacred Heart Health System, West Florida Medical Center Clinic, and Emerald Coast Radiation Oncology Center.
The allegations resolved by the settlement were first raised in a lawsuit filed under the whistleblower provisions of the False Claims Act. As part of the settlement, the whistleblower, Richard Koch, a former employee at Gulf Region Radiation Oncology Centers, will receive approximately $610,000, the department said.
In addition to the $3.5 million payment, defendants Lowrey, Krentel, and Gulf Region Radiation Oncology Centers have signed agreements with the U.S. Department of Health and Human Services' Office of Inspector General intended to deter wrongful conduct in the future, according to DOJ.