Laboratory settles claims of doctor kickbacks for $63M

Friday, February 1, 2019, Vol. 43, No. 5

NASHVILLE (AP) — A prosecutor says a pathology laboratory has agreed to pay $63.5 million to settle claims that its relationships with referring doctors violated federal kickback law.

U.S. Attorney Don Cochran's office in Nashville said Thursday that the settlement by Irving, Texas-based Inform Diagnostics stems from allegations in three whistleblower lawsuits.

The prosecutor's office says the settlement resolves allegations that the company formerly known as Miraca Life Sciences Inc. provided subsidies for electronic health records systems and free or discounted technology consulting to referring doctors and physicians groups.

Federal prosecutors claimed the company violated regulations that let laboratories provide electronic health record donations to doctors in certain cases. Those exemptions have since been withdrawn.

The company was a subsidiary of Miraca Holdings Inc., a Japanese company, but majority ownership changed in 2017.