The federal government has recently reported that, in FY 2016, False Claims Act suits resulted in a record breaking recoupment of $4.7 billion. However, penalties were not limited to civil recoupments; jail time, criminal forfeitures, and supervised release were also imposed on healthcare providers. In 2016, we saw an increase in governmental investigations, both in the civil and criminal realm, relating to physician practices, pharmacies, and healthcare marketing. The government shows no signs of slowing the investigative process in 2017.
The investigations relate to certain trends including receiving kickbacks in exchange for referrals, improper marketing relationships, overbilling for compounds, dilution of compounds, therapeutic interchange, and failure to collect copay and/or delivery signatures from patients. Investigations of marketing relationships can include marketers, pharmacies and even physicians. It is vital to ensure that not only is your healthcare practice compliant, but that all parties with whom you associate are also compliant. A high level attorney review of healthcare contractual relationships is advisable. If you are or may become the subject, target, or witness in an investigation, it is important you control the narrative. Contact Frier Levitt today.
