Gov’t Sues Dental Practices for Paying Referral Kickbacks

Federal and state prosecutors have filed a lawsuit against two Connecticut dental practices, alleging they violated the anti-kickback provisions of the False Claims Act by paying a recruiter who directed patients to the practices, after which the practices billed Medicaid for the visits.

The Background: The complaint is actually pretty short and sweet. It alleges that the defendants submitted claims for dental services provided to patients that were referred by a patient recruiter who was paid a fee of $110 per patient.

  • The kickbacks constituted false or fraudulent claims that were submitted to Medicaid between 2018 and 2020.
  • The practices were registered providers under the Connecticut Medical Assistance Program, which includes Connecticut’s Medicaid program.
  • As a result of the defendants’ actions, the state and the federal government paid for dental services allegedly provided to patients that it would not have paid for had they known the defendants were paid an incentive for the referrals.

The Claims: The complaint accuses the defendants of violating the federal False Claims Act as well as the Connecticut False Claims Act, as well as a number of other claims, such as unjust enrichment, and breach of contract.

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