What a $345M Stark law ruling means for physician pay structure
Becker's Healthcare January 23, 2024
Indianapolis-based Community Health Network recently agreed to pay $345 million to resolve claims it violated the False Claims Act and Stark law, indicating the importance for providers to pay close attention to physician compensation arrangements, law firm Baker Donelson wrote in a Jan. 22 article published by JDSupra.
The suit, which stems from a whistleblower complaint filed in 2014 by the nonprofit health system’s former CFO and COO under the qui tam provisions of the False Claims Act, “underscores the enormous stakes of structuring physician compensation appropriately, notwithstanding competitive pressures,” the article said.
The United States sued CHN in 2020, alleging the health system gave appraisers false information on multiple occasions, doubled physicians’ salaries based on what they...