Feature

An MD and a health care exec sued their employers for fraud: What happened?


 

Did it ruin his career?

Dr. Taylor also found a new job right away as chief medical officer of Colorado Access, where he trained practitioners on the Medicare Advantage model and documentation standards required by the Centers for Medicare & Medicaid Services (CMS). He is now an independent consultant with Principled Advantage.

Dr. Taylor’s lawsuit was filed under the False Claims Act, which requires that court documents be kept confidential (“sealed”) for at least 60 days while the DoJ investigates the case. Judges often extend that time frame.

In Dr. Taylor’s case, it took 7 years for the DoJ to unseal the documents. “The bad news is the wheels of justice turned really slowly. The good news was that I could seek employment and not have them worry about hiring a whistle-blower. As much as I didn’t like it, it was truly a blessing in disguise,” he says.

Dr. Taylor doesn’t know what the outcome of his case against Kaiser will be. When it was unsealed recently, he worried that local TV stations would show up at his doorstep and hound him or that Kaiser’s administrators would try to dig up dirt on him, which hasn’t happened.

He has no regrets about filing the lawsuit and feels vindicated because the managers/administrators who didn’t support him have been fired, including the CFO “who threw the biggest obstacles at me and defunded my work,” says Dr. Taylor.

The DoJ’s recent decision to join the consolidated whistle-blower case “was an indication that I was correct that Kaiser wasn’t doing what they should have been doing. You can’t have dishonest scales – if you’re purposely cheating the government to get promotions, more bonuses, that’s just wrong.”

Kaiser Permanente declined to comment on Dr. Taylor’s allegations and referred to its statement. “We are confident that Kaiser Permanente is compliant with Medicare Advantage program requirements, and we intend to strongly defend against the lawsuits alleging otherwise.”

“Our medical record documentation and risk adjustment diagnosis data submitted to the Centers for Medicare & Medicaid Services comply with applicable laws and Medicare Advantage program requirements. Our policies and practices represent well-reasoned and good-faith interpretations of sometimes vague and incomplete guidance from CMS,” according to the statement.

Did it make a difference?

When the government settles whistle-blower cases, the defendants usually admit no liability or wrongdoing, which some whistle-blowers find frustrating.

“I think the company was hurt by the lawsuit. It may make them think twice about doing this again,” says Mr. Mansukhani. However, he is cynical about whether the culture will change.

As part of its settlement, Prime agreed to amend its current corporate integrity agreement (CIA) from a previous 2018 settlement to include testing on physician compensation arrangements.

CIAs are standard monitoring agreements in the health care industry, and Prime asserts that it remains in full compliance, according to its statement.

Prime Health Care and Arunasalam did not respond to several interview requests. A statement from Prime in July says, “The settled matters related to an isolated, single physician practice in Southern California between 2015-2017 and billing of forty-five implantable device claims. The allegations did not involve patient care, but instead related to the valuation of a physician practice and the appropriate documentation for a limited number of implant claims totaling approximately $200,000. As soon as these matters were identified, Prime conducted an exhaustive internal review, fully cooperated with the DOJ, and negotiated a mutually acceptable resolution.”

A version of this article first appeared on Medscape.com.

Pages

Recommended Reading

Fraudulent misbranding of PPE nets $22 million settlement
MDedge Internal Medicine
Greater portal use gives patients access, doctors headaches
MDedge Internal Medicine
Two Colorado nurses admit to stealing drugs from hospital patients
MDedge Internal Medicine
Dr. Judy C. Washington shows URM physicians how to lead
MDedge Internal Medicine
Study finds paying people to participate in clinical trials is not unethical
MDedge Internal Medicine
Predicted pandemic retirement of many physicians hasn’t happened
MDedge Internal Medicine
New data illustrate pandemic pivot to telehealth by patients, physicians
MDedge Internal Medicine
NIAMS director reflects on her mentors, spotlights research projects underway
MDedge Internal Medicine
Federal judge pauses strict Texas abortion law
MDedge Internal Medicine
Major insurers running billions of dollars behind on payments to hospitals and doctors
MDedge Internal Medicine