123ArticleOnline Logo
Welcome to 123ArticleOnline.com!
ALL >> Health >> View Article

Hospitals, Physicians Can Take Some ‘stark' Lessons From Covenant Case

Profile Picture
By Author: Jaun Paul
Total Articles: 53
Comment this article
Facebook ShareTwitter ShareGoogle+ ShareTwitter Share

Recently, Covenant Medical Center in Waterloo, Iowa agreed to fork over a huge $4.5 million to settle a federal False Claims Act lawsuit involving alleged Stark Law violations. The case in point teaches some lessons to hospitals and physicians trying to survive a growing government crackdown on fraud and abuse.


According to the US government, Covenant submitted false claims to Medicare because it had overpaid five employed physicians who referred patients to the hospital for services - a verboten practice under the physician self-referral Stark law. The Department of Justice (DOJ), in a news release announcing the settlement agreement, noted that the Covenant physicians featured among the best paid hospital-employed physicians not just in Iowa, but throughout the country.


As far as the fates of the physicians are concerned, the DOJ does not anticipate any sanctions ...
... being brought against them. But that doesn't mean that the government couldn't impose a civil or criminal penalty against both the hospital in Stark cases.


According to legal experts, the Covenant case sounds a warning bell for two key reasons - First, the government targeted employment relationships, which it typically hasn't done under Stark or as kickbacks. Second, a dissatisfied competitor of Covenant reportedly enthused the legal trouble for the not-for-profit medical center. Attorney William Mathias says that based on the background he's heard, the competitor saw that Covenant's IRS form showed Covenant was giving its physicians a much better deal than the competitor was giving its physicians.


He also predicts that there will be more and more of this type of activity on the part of competing providers.

We provide the latest developments of Medicare claims in health care and offers advanced Learning Opportunities about
Stark law for healthcare executives, hospitals and physicians.

Total Views: 284Word Count: 296See All articles From Author

Add Comment

Health Articles

1. How Advanced Technology Is Changing Orthopedic Hospital Care
Author: Ravina

2. Dental Crowns Viewbank | Same-day Crown Treatment
Author: Man

3. Is Laser Eye Treatment In Thane Right For You
Author: Anil Eye Hospital

4. Addiction Recovery Support In Ajnala, Doraha And Mansa
Author: Gagan Singh

5. Find Best Oncologist In Mumbai : Dr. Anil Heroor
Author: Anil Cancer Clinic

6. Everything To Know About Shirodhara Treatment
Author: Alexis Pelloe

7. Enjoy Relaxation With Adult Massage Therapy
Author: Emma Brain

8. Achieve Confident Smiles With Invisalign Dentist St Louis And Best Dentist In St Louis At Stallings Dental
Author: Jessica Williams

9. Signia Hearing Aids: Complete Guide To Features, Price & Benefits (2026)
Author: Soft Hear

10. Kidney Failure Treatment Oman: Understanding Care And Treatment Options
Author: Mesdac SEO

11. Finding The Best Hip Replacement Surgeon Nairobi For Your Needs
Author: reviveorthospine

12. Best Dental Clinic In Al Ain: Complete Dental Care For Every Family
Author: SanjuSeo

13. Best Dentist In North Brunswick: Common Dental Problems That Need Professional Attention
Author: Naina Singh

14. Types Of Jaw Disorders
Author: David

15. Dental Clinic Near Me: Finding Reliable Dental Care Close To Home
Author: SEO GLOBOSOFT

Login To Account
Login Email:
Password:
Forgot Password?
New User?
Sign Up Newsletter
Email Address: