Cardiac Imaging, CEO to pay $85M in DOJ false claims case

DOJ

An Illinois-based cardiology imaging services provider and its chief executive agreed to pay a total of more than $85 million to settle charges levied by the Department of Justice (DOJ) addressing alleged violations of the False Claims Act regarding unlawful kickbacks.

Cardiac Imaging was ordered to pay $75 million and its CEO Sam Kancherlapalli nearly $10.5 million in reaching settlement, according to a DOJ press release Tuesday. The company and Kancherlapalli allegedly paid referring cardiologists excessive fees to supervise PET scans, violations of the Anti-Kickback Statue and Stark Law.

The settlement resolves claims against Cardiac Imaging brought under the qui tam provisions of the False Claims Act by Lynda Pinto, a former billing manager at the company. Pinto will receive an undetermined amount.

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