Compliance News Roundup: Compliance During a Data Breach

1. Orlando Doctor and Infusion Clinic Owner Sentenced to 64 Months and 90 Months in Prison for Role in Medicare Fraud - ”An Orlando medical doctor and an infusion clinic owner were sentenced to 64 months in prison and two years supervised release, and 90 months and two years supervised release, respectively, today for their roles in a $13.7 million Medicare fraud conspiracy that involved submitting claims for expensive infusion-therapy drugs that were never purchased, never provided and not medically necessary.” Read more here

2. Cardiac Monitoring Companies and Executive Agree to Pay $13.45 Million to Resolve False Claims Act Allegations - “AMI Monitoring Inc. aka Spectocor, its owner, Joseph Bogdan, Medi-Lynx Cardiac Monitoring LLC, and Medicalgorithmics SA, the current majority owner of Medi-Lynx Cardiac Monitoring LLC, have agreed to resolve allegations that they violated the False Claims Act by billing Medicare for higher and more expensive levels of cardiac monitoring services than requested by the ordering physicians, the Department of Justice announced today. Spectocor and Bogdan have agreed to pay $10.56 million, and Medi-Lynx and Medicalgorithmics have agreed to pay $2.89 million.” Read more here

3. Deeper Than the Headlines: Compliance During a Data Breach - More and more compliance officers are hearing of settlements involving shareholders and/or class-action type lawsuits. One of the most recent, a $115 million settlement between Anthem and the victims of Anthem’s data breach, is believed to be the largest settlement regarding a data breach. The data breach itself, a result of hacking in 2015, was one of the largest and involved data for nearly 79 million people and included names, birthdays, medical IDs, social security numbers, street addresses, email addresses and employment information, including income data. Read more here