Detroit Health System Forks Over $84.5M to Settle Fraud Claims

A Detroit-area hospital system has agreed to hand over $84.5 million to resolve False Claims Act allegations.

The Department of Justice announced Aug. 2 that William Beaumont Hospital, a Detroit-area health system, has settled allegations it provided kickbacks to physicians to secure patient referrals in violation of the anti-kickback statute and the Stark law. The Stark law governs referrals that physicians can make under federal health-care programs to entities with which they have financial relationships. The government and whistleblowers alleged that the hospital submitted claims to the government for services provided to these illegally referred patients in violation of the ...