Rush University Medical Center will pay over $1.5 million to settle allegations that it violated the False Claims Act.  Allegedly, the facility submitted false claims to Medicare through entering into leasing arrangements for office space with two physicians and three physician practice groups in violation of the Stark Law.

The Stark Law forbids hospitals to profit off of patient referrals from physicians with whom they have improper financial relations.  Leasing arrangements that do not have written leases, signed by both companies or are inconsistent with “fair market value” are considered improper under this law.

Rush is one of several defendants in a suit filed by Dr. Robert Goldberg and June Beecham under the whistleblower provisions of the False Claims Act.  Dr. Goldberg and Ms. Beecham will receive $270,760 from the Rush civil settlement. 

Click here to read the full article, “Chicago Hospital to Pay More Than $1.5 Million to Resolve Medicare False Claims Act Allegations”