Dr. Andrews pays claim
FROM STAFF REPORTS Gulf Breeze News news@gulfbreezenews.com

Renowned surgeon Dr. James Andrews recently agreed to pay nearly half a million dollars to resolve a claim with the U.S. Department of Justice.

HealthSouth Corporation, Dr. Andrews and another physician agreed to pay the United States government a total of $14.9 million to settle allegations that the Birmingham, Ala.-based company submitted false claims to the government and paid illegal kickbacks to physicians who referred patients for care in some of its hospitals, outpatient rehabilitation clinics, and ambulatory surgery centers.

HealthSouth will pay $14.2 million, and the physicians will pay a total of $700,000 under separate settlement agreements.

The settlement resolves claims made by HealthSouth to Medicare and Medicaid for services provided to patients referred by orthopedic surgeons Drs. Andrews and Lawrence Lemak of Birmingham, when HealthSouth had financial relationships with the physicians, their former partnership, the Alabama Sports Medicine and Orthopaedic Clinic and their research and training foundation, the American Sports Medicine Institute, that violated the Medicare and Medicaid Anti-Kickback Statute and a provision of the Social Security Act commonly known as the Stark Law. Alice Martin, the U.S. Attorney for the Northern District of Alabama, said that her office has entered into a $450,000 settlement with Dr. Andrews and a $250,000 settlement with Dr. Lemak resolving the government's claims against them.

The HealthSouth settlement also resolves allegations that the company paid kickbacks to, and entered into improper financial relationships with, other physicians, including a group in Los Angeles, in an apparent attempt to induce the referral of patients. The government's investigation of certain of the other physicians is continuing.

As a condition of continued participation in government healthcare programs, the Office of Inspector General of the Department of Health and Human Services required HealthSouth to amend its existing Corporate Integrity Agreement to address kickback issues.

Dr. Andrews also operates the Andrews Institute in Gulf Breeze.