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Mubashar Choudry, Kickback Scheme, Maryland 2016

Grimy Times Investigates: Kickback Scheme Unravels with $750,000 Settlement

Mubashar Choudry, a cardiologist with ties to Maryland and Washington, D.C., has agreed to pay the United States $750,000 to resolve allegations that he and three medical practices knowingly billed Medicare and TRICARE for claims in violation of the Anti-Kickback Statute (AKS).

According to the settlement, Choudry and his associated practices, Washington Cardiovascular Institute, Advanced Vascular Resources, and Washington Vascular Institute, submitted false claims to Medicare and TRICARE between January 1, 2013, and December 31, 2016. The allegations state that the defendants induced patient referrals by providing ankle-brachial index testing on patients under agreements with the referring physicians but without collecting the fair market value for the tests.

“Providing impermissible remuneration to induce patient referrals undermines government health care programs,” said Assistant Attorney General Jody Hunt of the Civil Division. “Patients are entitled to expect that the medical testing they receive and any resulting referral decision are free of financial inducements to the referring physician that may inappropriately impact the physician’s judgment.”

The settlement resolves allegations brought by Steven Pringle, a former sales and operations employee of the practices, under the qui tam, or whistleblower, provisions of the False Claims Act. Pringle will receive $121,500 as his share of the government’s recovery.

The case marks a significant blow to healthcare corruption in Maryland, with officials emphasizing the importance of maintaining the integrity of government health programs. “Kickback schemes like the scheme alleged in this case not only call into question the integrity of individual medical decisions, but they also raise the cost of health care for all of us,” said U.S. Attorney Robert K. Hur for the District of Maryland.

The settlement was the result of a coordinated effort by the Civil Division of the Department of Justice; the U.S. Attorney’s Office for the District of Maryland; the Department of Health and Human Services, Office of Counsel to the Inspector General and Office of Investigations; and the Defense Health Agency Office of General Counsel.

The claims resolved by the settlement are allegations only, and there has been no determination of liability. The case serves as a reminder of the importance of transparency and accountability in the healthcare industry.

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