Vilas Patil

Press Release
Oswego Hospital And Physician Combine To Pay Over $1.5 Million To Resolve Billing Improprieties Self-Disclosed By The Hospital
Wednesday, August 12, 2015

For Immediate Release
U.S. Attorney’s Office, Northern District of New York

SYRACUSE, NEW YORK – Oswego Hospital (“Oswego”), a 164-bed acute care community hospital located in Oswego, New York will pay $1,456,457.33 to resolve False Claims Act liability stemming from healthcare billing improprieties that the hospital self disclosed to the federal government, announced United States Attorney Richard S. Hartunian. Dr. Vilas Patil, a physician formerly working as an independent contractor with Oswego, has paid $204,365.97 to resolve False Claims Act liability in connection with a related investigation. Under the settlements, the United States will receive $1,026,790.89, and the State of New York, which also participated in the investigation, will receive $429,666.44.

During the course of an internal review, Oswego identified a number of billing improprieties in its Behavioral Health Services Department. Specifically, Oswego identified claims that were paid by federal and state payors where the supporting medical record documentation: (1) was not created or could not be located; (2) contained incorrect service dates; (3) were simply verbatim treatment notes from prior appointments with patients; and/or (4) failed to include time-related information required for certain time-based billing codes. Oswego promptly took corrective steps to remedy the problems and brought its findings to the government’s attention. Due in large part to Oswego’s decision to self-disclose these issues and its cooperation throughout the government’s investigation, Oswego was required to pay far less than the treble damages and penalties that the United States is authorized to seek under the False Claims Act. Furthermore, the Department of Health and Human Services’ Office of Inspector General (HHS-OIG) decided that Oswego would not have to enter into a corporate integrity agreement or adopt other compliance measures…