United States Obtains $16.2 Million Judgment Against MRI Provider For Submitting False Claims
https://www.justice.gov/usao-de/pr/united-states-obtains-162-million-judgment-against-mri-provider-submitting-false-claims
Department of Justice
U.S. Attorneys Office
District of Delaware
FOR IMMEDIATE RELEASE
Monday, January 29, 2018
United States Obtains $16.2 Million Judgment Against MRI Provider For Submitting False Claims
Wilmington, Del. David C. Weiss, Acting U.S. Attorney for the District of Delaware, announced today that the U.S. District Court for the District of Delaware entered judgment in the amount of $16,223,091.38 against Orthopaedic and Neuro Imaging LLC (ONI) for submitting false claims for Medicare reimbursement. Under the terms of the judgment, ONIs owner, Richard Pfarr, is jointly and severally liable for $6,125,947.13.
ONI operates independent diagnostic testing facilities (IDTFs) in Delaware and Maryland. The Court granted the United States request for default judgment on its complaint, which alleged that ONI and Pfarr knowingly submitted false claims to Medicare by administering contrast dye during magnetic resonance imaging (MRI) scans on patients without proper supervision by a physician. Contrast dye is a chemical that is injected intravenously into the body in order to make certain tissues more clearly visible on an MRI.
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The original lawsuit was filed by Robin White, a former employee of ONI. The lawsuit was filed under the qui tam provisions of the False Claims Act, which permit private parties to sue on behalf of the United States for false claims for government funds, and to receive a share of any recovery. The False Claims Act permits the government to intervene in such a lawsuit, as was done in this case. Under the terms of the Courts judgment, Ms. White will receive an 18-percent share of the recovery.