Medicare Fraud 101

Radiology Center Kickbacks Are A Nationwide Problem

The Illinois Attorney General intervened on January 18, 2007 in a lawsuit against a number of Chicago radiology centers (including MIDI, LLC, a Virginia company that operates 13 Open Advanced MRI facilities in Illinois) over their payments of kickbacks to referring doctors. The physicians allegedly would enter into sham lease agreements with the radiology centers allowing them to pay a reduced rate for MRI and CT scans, charging the patient?s insurance that higher rate and then pocketing the difference. “Illinois has a clear policy against kickbacks, and making payments to doctors for referral of patients is illegal, no matter how those payments are disguised,” Attorney General Lisa Madigan said in our statement. “Our investigation revealed evidence showing that this practice occurs among doctors and radiology centers in Illinois. This is an illegal practice that must stop.” While only 11 companies that operate MRI centers were named in the lawsuit, the Attorney General’s Office believes this fraudulent scheme stretches “beyond Illinois and across the country.”

To read more about the story, click here.

To read more about Medicare fraud and kickbacks, click here.

Leave a Reply