ReleaseWire

Mercy Springfield to Pay $34 Million to Resolve Allegations Doctor Compensation Violated Law

The Whistleblower Institute announces that two Southwest Missouri health care providers reached a $34 million settlement.

Posted: Tuesday, September 12, 2017 at 9:45 AM CDT

San Diego, CA -- (SBWire) -- 09/12/2017 --The Whistleblower Institute announces that two Southwest Missouri health care providers reached a $34 million settlement in a False Claims Act lawsuit filed by a former employee over violations arising from improper payments to oncologists.

Those who have a similar case or experienced a similar situation or any other wrongdoing within a corporation have certain options and should contact the Whistleblower Institute at mail@whistleblowerinstitute.com or call: 619-452–1218. There are no costs or obligations to you.

The allegations arose from a lawsuit that claimed Mercy Hospital Springfield and Mercy Clinic Springfield Communities, engaged in improper financial relationships with referring physicians.

According to the U.S. Justice Department, allegedly the Defendants submitted false claims to Medicare for chemotherapy services rendered to patients referred by oncologists whose compensation was based, in part, on a formula that improperly took into account the value of their referrals to an infusion center operated by Mercy.

"When physicians are rewarded financially for referring patients to hospitals or other health care providers, it can affect their medical judgment, resulting in overutilization of services that drives up health care costs for everyone," said Acting Assistant Attorney General Chad A. Readler of the Justice Department's Civil Division. "In addition to yielding a recovery for taxpayers, this settlement should deter similar conduct in the future and help make health care more affordable."

Reportedly, the whistleblower, Dr. Viran Roger Holden, a physician who was employed by one of the Defendants, will receive $5,440,000 from the recovery.

As part of the settlement, the health system did not admit wrongdoing. In a statement issued by Jon Swope, a regional Mercy executive, stated, "we take this situation very seriously."

Mercy is a not-for-profit Catholic health care organization located in the Midwestern United States with headquarters in St. Louis, Missouri.

The Whistleblower Institute is an information portal for current or former employees and other people having insight information about wrongdoing and other illegal activities by individuals either individually or within corporations, through company culture and or within international affairs. Whistleblowers should keep in mind that under the Dodd-Frank Act any person who provides the Securities and Exchange Commission ("SEC") with original information that leads to a successful enforcement action with over $1 million recovered must be awarded between 10%-30% of the total amount recovered. In order to determine the total amount of the reward there are numerous factors that need to be considered. Whistleblower actions are complex and our goal is to guide any whistleblower every step of the way. The Whistleblower Institute is dedicated to partnering with any individual who have information about fraud and we work with many of the best law firms worldwide.

Those who have a similar case or experienced a similar situation or any other wrongdoing within a corporation have certain options and should contact the Whistleblower Institute.

Contact:
Whistleblower Institute
2534 State Street - Suite 406
San Diego, CA 92101, USA
Phone: +1 (619) 452–1218
Facsimile: +1 (619) 785 – 3185
Email: mail@whistleblowerinstitute.com