Monitoring Company to Pay $550,000 to Settle False Claims Act Allegations

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Marshfield Medical, Inc., formerly Bromedicon, Inc. (“Bromedicon”), has agreed to pay $550,000 to settle allegations under the False Claims Act (FCA).

Bromedicon was a Pennsylvania corporation that provided remote Intraoperative Neurophysiological Monitoring (IONM) services. On December 30, 2013, Relator Dianna Kelly filed a qui tam action in the Eastern District of Pennsylvania. The government intervened in the case on March 8, 2018. The Relator and the government alleged that, between 2011 and 2015, Bromedicon failed to provide qualified interpreting physicians to remotely monitor certain surgeries for which the company was to provide IONM services. In some instances, the company allegedly provided no one to monitor the surgeries, and, in other cases, a non-licensed physician performed the IONM services. Bromedicon allegedly violated the FCA by submitting claims for reimbursement to Medicare, Medicaid, TRICARE, and FEHBP for its IONM services as though one of its licensed physicians had performed the services.

The Settlement Agreement can be found here.

The DOJ press release can be found here.

The qui tam complaint can be found here.

DISCLAIMER: Because of the generality of this update, the information provided herein may not be applicable in all situations and should not be acted upon without specific legal advice based on particular situations.

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