Advanced Pathology Solutions, formerly known as Advanced Pathology Solutions LLC, headquartered in North Little Rock, Arkansas, along with its management services organization and current and former owners, have agreed to pay a total of $30 million to settle allegations involving unlawful kickbacks and medically unnecessary pathology testing.
According to the U.S. Department of Justice, the settlement resolves allegations that the company provided kickbacks to gastroenterology practices in exchange for referrals of pathology testing services and submitted claims for medical tests that were not considered medically necessary.
Federal officials alleged the practices occurred from 2015 through July 2022 and involved a nationwide network of gastroenterology offices. The government also alleged improper commission payments related to epidermal nerve fiber density testing referrals.
As part of the agreement, Advanced Pathology Solutions entered into a 5-year Corporate Integrity Agreement requiring enhanced compliance programs, training, audits, and oversight of physician referral relationships.
Federal officials emphasized the settlement reflects ongoing efforts to combat healthcare fraud and protect taxpayer-funded healthcare programs.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
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