HARRISBURG, DAUPHIN CO. (WOLF) — The Scranton Heart Institute has agreed to pay $48,709.20 to settle allegations that it improperly billed Medicare for certain medical imaging services, according to the U.S. Attorney’s Office for the Middle District of Pennsylvania.
Federal prosecutors said the settlement resolves claims that the institute violated the False Claims Act by submitting inaccurate billing claims tied to PET scan services. The allegations focus on claims submitted under specific medical billing codes that did not comply with Medicare rules.
Authorities allege that between December 2020 and May 2023, Scranton Heart Institute received payments and other financial benefits from a mobile PET scan provider in exchange for referring Medicare patients to that company. Investigators say the compensation included sizable hourly payments described as supervision fees, as well as the ability for the institute to bill Medicare for and keep professional fees connected to the imaging services.
The U.S. government contends those arrangements violated federal anti-kickback laws, which prohibit financial incentives for patient referrals. Officials also allege the financial relationship did not meet exceptions under federal physician self-referral regulations, commonly known as the Stark Law.
Health and Human Services Office of Inspector General Special Agent in Charge Maureen Dixon said improper financial arrangements can undermine medical judgment and drive up costs in federal healthcare programs.
The case was handled by Assistant U.S. Attorney Tamara Haken and the Affirmative Civil Enforcement Unit of the U.S. Attorney’s Office, with assistance from investigators at the Department of Health and Human Services Office of Inspector General.
The settlement resolves the allegations without an admission of wrongdoing by Scranton Heart Institute.