Medical company disputes improper billing allegations
Update: Desert Imaging's CEO provided ABC-7 with the following statement regarding the allegations made by the government against the company:
“The claims resolved by the settlement are allegations only, and there has been no determination of liability. We disputed the allegations made by the U.S. Attorney’s Office as to the covered conduct, including any intent to violate or circumvent applicable laws, or whether Desert Imaging actually received higher payments than otherwise entitled."
Leroy Candelaria
CEO of Desert Imaging
EL PASO, Texas (KVIA) -- Desert Imaging Services, L.P., In Tandem Solutions Group, LLC, and Leroy Candelaria are set to pay the U.S. $693,913 over allegations of improper billing for medical services. That is according to a spokesperson for the U.S. Attorney for the Western District of Texas.
Also, Donald Burris and Vox Intus, LLC agreed to forfeit $325,000; and East El Paso Physician’s Medical Center, LLC, doing business as Foundation Surgical Hospital of El Paso, agreed to entry of a consent judgment of $2,081,739, according to federal prosecutors.
The U.S. claims that the parties involved got an "illegal kickback" and engaged in a pass-through billing scheme.
Federal prosecutors allege that Desert Imaging used Foundation Surgical Hospital's National Provider Identifier (NPI) to submit claims for medical imaging services.
"Although the patients who received these services had no connection with the hospital, billing the claims as hospital outpatient services allowed Desert Imaging to obtain a higher rate of reimbursement from Federal healthcare programs," prosecutors explained. "In exchange for letting Desert Imaging use its NPI, Foundation Surgical Hospital retained 17% of payments on the claims."