Tenet-affiliated health systems to pay $30M in DOJ kickback case

DOJ building

Tenet Healthcare, Vanguard Health Systems, and the Detroit Medical Center (DMC) agreed to pay $29.7 million as part of a settlement with the Department of Justice (DOJ) addressing allegations they provided kickbacks to doctors who made referrals to their health organizations.

The DOJ alleged two of DMC’s hospitals, Sinai Grace and Harper University, offered services of mid-level practitioners free of charge or at below-market levels to 13 physicians from January 2014 through December 2017. The free or discounted labor of the employees was given to the doctors in exchange for their referrals of Medicare patients, a violation of the Anti-Kickback Statute and the False Claims Act, the DOJ said in a press release Wednesday.

Tenet acquired Vanguard hospitals within the DMC network in 2013. Tenet is one of the largest health organizations in the United States.

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