An Indian-origin doctor in the US has agreed to pay $14 million to settle allegations of widespread healthcare fraud involving medically unnecessary procedures and false billing.
According to a press release by the US Department of Justice, Jitesh Patel, along with his practice, Advanced Urology Inc. and affiliated entities, will pay the settlement amount to resolve claims under the False Claims Act and the Georgia False Medicaid Claims Act.
Federal authorities alleged that the practice billed government healthcare programmes, including Medicare and Medicaid, for procedures that were either not performed or were medically unnecessary.
The investigation began after two whistleblower complaints were filed - one by a former employee and another by a former physician at the clinic.
Both alleged that the organisation was “designed to maximize revenue for Dr. Patel and others by performing medically unnecessary procedures and tests.”
Among the practices highlighted were the implantation of devices in some patients without properly checking if they would actually benefit from them.
Patients were also made to undergo unnecessary tests, some of which required them to be put under anaesthesia.
The complaint also alleged that the clinic ordered thousands of ultrasound tests that were not needed.
Whistleblowers further claimed that in some cases, the clinic billed for procedures that were never performed.
The case was investigated by multiple US agencies, including the US Attorney’s Office, the FBI, and the Department of Health and Human Services.
US Attorney Theodore S. Hertzberg said authorities would act firmly against such violations.
Whistleblowers will receive $2.94 million from the settlement, which resolves allegations only and does not constitute a formal determination of liability.