{"id":17173,"date":"2022-01-03T11:05:49","date_gmt":"2022-01-03T11:05:49","guid":{"rendered":"https:\/\/nicholsbrar.com\/?p=17173"},"modified":"2022-01-03T11:10:48","modified_gmt":"2022-01-03T11:10:48","slug":"nbwt-achieves-outstanding-result-for-surgery-center-management-clients-in-28-million-derivative-shareholder-dispute-tried-to-three-member-aaa-panel","status":"publish","type":"post","link":"https:\/\/nicholsbrar.com\/nbwt-achieves-outstanding-result-for-surgery-center-management-clients-in-28-million-derivative-shareholder-dispute-tried-to-three-member-aaa-panel\/","title":{"rendered":"Flower Mound Hospital settles Federal and State False Claims Act allegations for $18.2 million"},"content":{"rendered":"\t\t<div data-elementor-type=\"wp-post\" data-elementor-id=\"17173\" class=\"elementor elementor-17173\" data-elementor-post-type=\"post\">\n\t\t\t\t\t\t<section class=\"has_ae_slider elementor-section elementor-top-section elementor-element elementor-element-4b901c1f elementor-section-boxed elementor-section-height-default elementor-section-height-default ae-bg-gallery-type-default sc_fly_static\" data-id=\"4b901c1f\" data-element_type=\"section\">\n\t\t\t\t\t\t<div class=\"elementor-container elementor-column-gap-extended\">\n\t\t\t\t\t<div class=\"has_ae_slider elementor-column elementor-col-100 elementor-top-column elementor-element elementor-element-2c32c9a5 sc_inner_width_none sc_content_align_inherit sc_layouts_column_icons_position_left ae-bg-gallery-type-default sc_fly_static\" data-id=\"2c32c9a5\" data-element_type=\"column\">\n\t\t\t<div class=\"elementor-widget-wrap elementor-element-populated\">\n\t\t\t\t\t\t<div class=\"elementor-element elementor-element-4e408613 sc_fly_static elementor-widget elementor-widget-text-editor\" data-id=\"4e408613\" data-element_type=\"widget\" data-widget_type=\"text-editor.default\">\n\t\t\t\t<div class=\"elementor-widget-container\">\n\t\t\t\t\t\t\t<p><!-- wp:paragraph --><\/p><p>A Texas hospital\u2019s recent settlement demonstrates that equity grants to physician owners, if not structured appropriately, can trigger government scrutiny and implicate fraud and abuse laws.\u00a0<\/p><p>On November 29, 2021, Flower Mound Hospital Partners LLC, a partially physician-owned hospital in Flower Mound, Texas, agreed to pay $18.2 million in settlement of allegations that it violated the False Claims Act by knowingly submitting claims to the Medicare, Medicaid and TRICARE programs arising from violations of the Physician Self-Referral Law (\u201c Stark Law\u201d) and the Anti\u2011Kickback Statute (\u201cAKS\u201d).<\/p><p>Flower Mound Hospital was specifically accused of violating the Stark Law and AKS by conditioning its physicians\u2019 ownership interest on their volume of referrals.\u00a0 The Hospital allegedly repurchased 20 percent of the shares of each physician-owner age 63 and older, and then resold those shares to a list of physicians selected based on the amount of referrals brought to the Hospital.\u00a0 The Hospital\u2019s Bylaws and Company Agreement also allegedly required physician owners to have at least 24 \u201cpatient contacts\u201d to maintain ownership. \u00a0Notably, the 24- \u201cpatient contacts\u201d requirement was more than double similar requirements at area hospitals, exceptions or waivers were not permitted, and \u201cpatient contacts\u201d was narrowly defined to include only procedures performed at the Hospital.\u00a0<\/p><p>The <em>Flower Mound<\/em> settlement underscores the Department of Justice\u2019s continued focus on enforcing the False Claims Act.\u00a0 In 2020 alone, the DOJ recovered over $2.2 Billion from False Claims Act cases, and an average of 13 cases of <em>qui tam<\/em> cases were filed through the Act each week.<\/p><p>In light of <em>Flower Mound<\/em> and the harsh penalties associated with the False Claims Act \u2014 including treble damages and possible exclusions from federal programs \u2014 healthcare entities should carefully scrutinize their ownership structures and procedures to ensure physician equity is never conditioned on the volume or value of referrals.\u00a0<\/p><p><!-- \/wp:paragraph --><\/p>\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"<p>A Texas hospital\u2019s recent settlement demonstrates that equity grants to physician owners, if not structured appropriately, can trigger government scrutiny and implicate fraud and abuse laws.\u00a0 On November 29, 2021,&hellip;<\/p>\n","protected":false},"author":11,"featured_media":16988,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[7],"tags":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.5 - 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