Pittsburgh-based Penn Highlands Healthcare and several of its hospitals agreed to pay $735,000 to resolve False Claims Act and Stark Law infringement allegations.
Penn Highlands DuBois allegedly violated the Stark Law from July 1, 2009 through June 30, 2012 by paying improper compensation to medical providers, according to a May 28 news release from the Justice Department.
Gary Ott, MD, and another physician at Dr. Ott's practice were paid $420,000 under a consulting agreement for employment services allegedly performed before the agreement went into effect, during which time neither physician was employed by Penn Highlands DuBois.
The settlement originates from a whistleblower complaint filed in October 2016 by three medical providers who were previously employed by Penn Highlands, the release said.