HCA, Nashville, has agreed to pay $16.5 million to settle claims that two of its subsidiaries violated False Claims and anti-kickback laws by providing financial benefits in exchange for patient referrals.
The subsidiaries are Parkridge Medical Center, Chattanooga, Tenn., and HCA Physician Services, Nashville. As part of the agreement (PDF), Parkridge also entered into a five-year corporate integrity agreement with the HHS' inspector general's office.
The settlement resolves allegations brought in a 2008 whistle-blower suit but is not a determination of liability, a news release stated. The case was handled by the U.S. Justice Department and the U.S. attorney's office in Knoxville, Tenn.
“We are pleased the matter is concluded, and we will diligently fulfill the terms of the corporate integrity agreement,” said Kathy Winn, director of marketing at Parkridge Health System, in a statement.