A Kentucky doctor joined a growing list of medical professionals implicated in an illegal kickback scheme involving OK Compounding. This is the eleventh kickback settlement since November 2018.
Jonathan Moore, 50, a licensed doctor of podiatry, agreed to pay the government $65,404 for allegedly accepting illegal kickback payments from OK Compounding, LLC, announced U.S. Attorney Trent Shores.
“Eleven kickback settlements and counting. The manipulation of our federal health insurance programs cannot be tolerated,” said U.S. Attorney Trent Shores. “There are clearly defined laws and standards that must be followed when prescribing compounding medications. Greedy doctors and marketers who have conveniently ignored those laws for their own personal enrichment will be held accountable. I appreciate the diligent work of my Affirmative Civil Enforcement team. They have an important mission and role within my office. They use civil litigation tools to ensure corrupt medical professionals cannot defraud the federal health care system and American taxpayers.”
This civil settlement resulted from an investigation into numerous health care providers writing prescriptions for pain creams compounded and sold by OK Compounding in return for payments.
Beginning in 2013, Dr. Moore prescribed pain creams for his patients, facilitating the sale and distribution of the creams. As compensation for his services, OK Compounding paid Dr. Moore what was characterized by the parties as “medical director fees” based upon an hourly rate. However, the payments Dr. Moore received from the company were, in actuality, “kickbacks.” Because some of the patients were insured by Medicare and TRICARE, federal health insurance programs, the kickbacks were in violation of the False Claims Act.
It is illegal to pay or receive “kickbacks” in conjunction with federal health care insurance. Prohibitions against kickbacks are crucial to insure that financial motives do not undermine the medical judgment of physicians and other health care providers. The civil False Claims Act is an important tool used to protect the integrity of taxpayer-funded health care programs.
To report fraud and abuse against the Federal government in the Northern District of Oklahoma, please contact the U.S. Attorney’s Office at 918-382-2700 and speak to a member of the ACE Unit.
This matter was handled by Assistant U.S. Attorney Marianne Hardcastle, and is the product of a collaborative investigation by the Defense Criminal Investigative Service, Department of Labor–Office of Inspector General (OIG), IRS–Criminal Investigation Division, U.S. Postal Service–OIG, FBI, Department of Veterans Affairs–OIG and the Department of Health and Human Services–OIG.
The claims resolved by the settlement are allegations only; there has been no determination of liability.