US Attorney Announces $10.8M Settlement with Provider over False Claims Act Misconduct

US Attorney for the District of Montana, Jesse Laslovich, announced a settlement agreement between the federal government and St. Peter’s Health, in Helena, in which St. Peter’s will pay $10,844,201 to resolve allegations that it violated the False Claims Act by submitting false claims for payments to federal healthcare programs for services performed by an oncology doctor. Under the terms and conditions of the settlement agreement, St. Peter’s is to pay $10,844,201 no later than 30 days after the effective date of the agreement. The settlement agreement contends that St. Peter’s violated the False Claims Act by submitting false claims for payments to federal healthcare programs relating to services performed and referred by Dr. Thomas Weiner, an oncologist employed at its cancer treatment center.

The government alleged that between Jan. 1, 2015, and Dec. 31, 2020, St. Peter’s, relying on Dr. Weiner’s documentation and certification, submitted claims which were determined to be false. St. Peter’s knew, or should have known, that Dr. Weiner submitted claims for office visits that were coded at a higher level of service than was actually performed or did not meet the requirements of a significant, separately identifiable service when performed on the same day as administration of chemotherapy. Further, St. Peter’s, relying on Dr. Weiner’s documentation and certification, compensated Dr. Weiner with a salary that was based on the false claims, and therefore, caused his salary to be inconsistent with fair market value.

The settlement agreement credits St. Peter’s for voluntarily self-disclosing the misconduct. St. Peter’s also performed and disclosed the results of an internal investigation; disclosed documents beyond existing business practices or legal requirements; identified individuals who were aware of relevant information or conduct; made officers and employees available for interviews; assisted in determining the losses caused by the misconduct; and has enhanced its corporate compliance program.

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