The newly passed health reform legislation includes an expansion of the False Claims Act, and could expose physicians to greater liability in fraud investigation cases.
The new health system overhaul law includes significant expansions of the government's reach under the federal False Claims Act, and experts warn that doctors need to be ready.
Although the changes largely enhance prosecutors' fraud-fighting tools, often with the help of whistle-blowers, they also put physicians in line for additional liability exposure, experts say.
"This is another link in the chain of events that has expanded the scope of liability under the False Claims Act, and physicians have got to be aware of these changes and ensure they have effective compliance measures in place," said Roderick L. Thomas, a partner and false claims expert with the law firm Wiley Rein LLP in Washington, D.C.
In one of its more significant false claims provisions, the health reform law imposes an explicit duty on physicians to return known overpayments to the government within 60 days of discovering an error, according to health care fraud defense lawyer Gadi Weinreich. Retaining an overpayment beyond that deadline could constitute a false claim. "Now we have a law that says, if you've been paid in error, don't write us a letter. Write us a letter and include your check," said Weinreich.
For the full story, click here: Health Reform Law Expands False Claims Act; American Medical News - April 26, 2010.
