Doctor To Repay $4M In Medical Fraud Case

GREENBELT, MD — A doctor and a medical practice have agreed to pay the U.S. $4 million in the settlement of a violation of the False Claims Act after billing Medicare, Medicaid and TRICARE for medically unnecessary vein treatment procedures.

According to the United States, CVR, over a six-year period from Jan. 1, 2010, to Dec. 31, 2016, knowingly submitted claims to Medicare, Medicaid and TRICARE for chronic venous insufficiency treatment procedures that were medically unnecessary. The government also said that neither Medicare, Medicaid nor TRICARE cover the treatment of varicose veins for cosmetic reasons alone.

Treatment for chronic venous insufficiency must be accompanied by certain other conditions and after the patient undergoes a specified period of alternative treatment options that are unsuccessful, prosecutors said.

Between CVR knowingly billed Medicare, Medicaid and TRICARE for sclerotherapy, radiofrequency ablation, and endovenous laser ablation procedures that were not clinically indicated and were medically unnecessary.

CVR Management, LLC provides health care management services and manages the operations of the Center for Vein Restoration, a multi-state collection of physician-led vein treatment practices and medical centers specializing in diagnosing and treating vein disease, notably chronic venous insufficiency and varicose veins. It operates 16 locations in Maryland.

The Center for Vascular Medicine, a related practice group, specializes in the treatment of deep venous and arterial disorders in the legs, feet and pelvic areas. CVM operates several offices located in Maryland, Virginia and North Carolina. Lakhanpal is the entities’ CEO and president, and CVM’s chairman of the board.

The federal share of the civil settlement is $3,395,634.93. Additionally, the total Medicaid recovery is $604,365.07, with eight Medicaid participating states, and the District of Columbia, slated to receive $325,208.84 of the civil settlement and the United States $279,156.23 of the Medicaid recovery. State Medicaid programs are jointly funded by the federal and state governments.