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PODs Alert: HHS Inspector General Issues Fraud Warning For Physician-Owned Device Distributors

The March 26 special fraud alert reiterates the HHS watchdog’s “longstanding position that the opportunity for a referring physician to earn a profit, including through an investment in an entity for which he or she generates business, could constitute illegal remuneration under the anti-kickback statute.”

The HHS Office of the Inspector General issued a special fraud alert March 26 regarding the “substantial fraud and abuse risk” of physician-owned distributorships, and the dangers OIG says they pose to patient safety.

The special fraud alert reiterates the HHS watchdog’s “longstanding position that the opportunity for a referring physician to earn a...

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