Oklahoma Chiropractic Clinic, Owner, and Referring Physicians Pay $465K to Settle Federal False Claims Act

Croas 1 LLC d/b/a Chiropractic Associates and Scott Kirkpatrick, DC, paid $365,000 to resolve allegations that they wrongfully paid physicians to induce referrals of durable medical equipment (DME), resulting in the submission of false claims to the Medicare program. In separate agreements Cash Biddle, DO, and Chad Keeney, DO, each paid $50,000 to resolve allegations they received remuneration from Chiropractic Associates and/or Dr. Kirkpatrick for the purpose of inducing referrals of Medicare DME orders. Chiropractic Associates was an Oklahoma limited liability company that provided chiropractic, medical, and DME services in Ponca City, Oklahoma. Dr. Kirkpatrick is a chiropractic physician licensed to practice in the State of Oklahoma and was the sole member of Chiropractic Associates. Dr. Biddle and Dr. Keeney are osteopathic physicians licensed to practice in the State of Oklahoma.

The United States alleges that from October 2017 through July 2021, Chiropractic Associates and Dr. Kirkpatrick violated the Anti-Kickback Statute, 42 U.S.C. § 1320a-7b (“AKS”) and/or the Physician Self-Referral Law (commonly referred to as the “Stark Law”) by paying remuneration to referring providers for the purpose of inducing referrals of Medicare DME orders. The United States also alleges that Dr. Biddle and Dr. Keeney received such remuneration at certain times. To resolve these allegations, Chiropractic Associates and Dr. Kirkpatrick paid $365,000 to the United States, and Dr. Biddle and Dr. Keeney each paid $50,000.

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