A New Jersey OB-GYN has agreed to pay $5.25 million and will be excluded from Medicare and Medicaid for 20 years to settle allegations that he submitted thousands of false claims to federal healthcare programs.
Dr. Labib Riachi, the sole owner of the Center of Advanced Pelvic Surgery, allegedly billed Medicare and Medicaid for thousands of pelvic floor therapy claims that were never provided or were otherwise fraudulent. According to HHS' Office of Inspector General, the services provided at the center's various locations throughout the state had a number of issues; some services were provided by unqualified staff or weren't supervised properly and some services either were unnecessary or weren't provided in the first place.
HHS' OIG said the 20-year exclusion agreement should serve as a strong warning to physicians. Riachi agreed to the $5.25 million monetary settlement over his False Claims Act liability back in February, the watchdog said.
"Twenty years is a substantial period of exclusion and is a clear signal to physicians that they face significant consequences, beyond monetary penalties, for taking advantage of federal healthcare programs and their beneficiaries," said Gregory E. Demske, chief counsel to the HHS inspector general. "In cases such as this, collecting money from a wrongdoer is not sufficient and OIG will pursue exclusion to protect our patients and programs."
Riachi has not admitted any liability as part of the settlement agreement.
