Chicago hospital to pay $1.5M in settlement

March 9, 2010 11:37:33 AM PST
Rush University Medical Center has agreed to pay $1,547,200 plus interest after allegations that the facility submitted false claims to Medicare over seven years.The claims were allegedly filed between 2000-2007.

The Department of Justice says Rush violated a law prohibiting hospitals from profiting from patient referrals to physicians with whom the hospital has an improper financial arrangement. The hospital had leasing agreements with several physicians that violated the law, the DOJ said Tuesday.

Rush is one of several defendants in a suit brought in 2004 by two whistleblowers. Under the civil settlement, the whistleblowers, Dr. Robert Goldberg and June Beecham, will receive $270,760.