University of Missouri settles health care fraud claim

COLUMBIA, Mo. (AP) -- The University of Missouri has agreed to pay the federal government $2.2 million to settle a claim that their health care program physicians committed fraud.

The Kansas City Star (http://bit.ly/29hrRbO) reports that program was accused of violating the False Claims Act by submitting claims for radiology services to federal programs such as Medicare and Medicaid, and maintaining that radiology images had been reviewed by physicians. Federal health care programs only pay when a physician is involved with the review.

U.S. attorney for the Western District Tammy Dickinson said Thursday that a federal investigation had found that physicians had not reviewed the radiology images. Federal officials claim the reviews were conducted by resident physicians.

The settlement reimburses Medicare and other programs for charges billed by two former university radiologists. Both physicians resigned immediately after the university made the allegations public in 2012.

The program is part of the University of Missouri Health System. It has made a five-year corporate integrity agreement with the Office of Inspector General for the U.S. Department of Health and Human Services.

The university is also repaying the federal government about $3 million for unrelated billing issues discovered during the radiology review investigation. That payment is related to a series of overpayments from 2001 to 2013, in which the health system did not properly bill the government for two specific tests and treatments, among other things.

Interim university chancellor Hank Foley said the school considers the settlements to be a fair resolution.