Orthopedic Clinic Pays $1.5 Million to Settle Systemic Noncompliance with HIPAA Rules

Athens Orthopedic Clinic PA has agreed to pay $1,500,000 to the Office for Civil Rights (OCR) at the US Department of Health and Human Services (HHS) and to adopt a corrective action plan to settle potential violations of the Health Insurance Portability and Accountability Act (HIPAA) Privacy and Security Rules. Athens Orthopedic is located in Georgia and provides orthopedic services to approximately 138,000 patients annually. On June 26, 2016, a journalist notified Athens Orthopedic that a database of their patient records may have been posted online for sale. On June 28, 2016, a hacker contacted Athens Orthopedic and demanded money in return for a complete copy of the database it stole. Athens Orthopedic subsequently determined that the hacker used a vendor’s credentials on June 14, 2016, to access their electronic medical record system and exfiltrate patient health data. The hacker continued to access protected health information (PHI) for over a month until July 16, 2016.

The resolution agreement and corrective action plan may be found at https://www.hhs.gov/sites/default/files/athens-orthopedic-ra-cap.pdf – PDF.

You May Also Like