UNITED STATES ATTORNEY'S OFFICE

District of Oregon

PRESS ROOM

DOJ Seal

12/12/2006
 

Eugene, Oregon Radiology Laboratory Settles Medicare and Medicaid Fraud Case for $510,000
 

Oregon Imaging Center Settles claims that it billed federal programs for unordered tests

PORTLAND, OREGON—Oregon Imaging Center, a Eugene, Oregon radiology laboratory, has paid the United States $510,000 to settle claims that the laboratory improperly performed radiology tests not ordered by treating physicians and billed the federal Medicare and Medicaid programs for the tests.

An investigation by the United States Attorney’s Office and the Department of Health and Human Services Office of Inspector General revealed that, during the period from January 1, 1998 through March 31, 2004, Oregon Imaging Center billed Medicare and Medicaid for computerized axial tomography (CT) exams of the abdomen and pelvis, chest CT exams and chest X-rays, and MRAs of the head and neck when the patients’ treating physician ordered only one of the exams.  Under applicable rules of the Medicare program, a laboratory may only bill for services ordered by a patient’s treating doctor.  As part of the settlement, Oregon Imaging Center also entered into a five year corporate integrity agreement with the Office of Inspector General of the U.S. Department of Health and Human Services to assure that such billing improprieties do not recur in the future.

First Assistant U.S. Attorney Barry Sheldahl stated that, “Fraud by health care providers affects each and every one of us.  The United States Attorney’s Office is committed to pursuing cases involving improper billing practices, such as those uncovered in this investigation, which cost the Medicare and Medicaid programs billions of dollars annually nationally.” 

The Department of Health and Human Services Office of the Inspector General and the State of Oregon Department of Justice Medicaid Fraud Control Unit joined forces to investigate this case.  The case was prosecuted civilly by Assistant United States Attorney Bob Nesler at 503-727-l000.  For further information, you can contact Diane Peterson, Public Information Officer, at 503-727-l066.