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federal government will intervene In a False Claims Act lawsuit against electronic health records provider Modernizing Medicine and its co-founders, the lawsuit went public on Friday.
The lawsuit alleges the company falsely certified that it complied with its certification requirements Electronic Medical Record Productsoffering illegal kickbacks to doctors and entering diagnostic codes in their EHRs.
The Justice Department notified the U.S. District Court of Vermont that it would partially intervene in the case and intended to file its own complaint within 90 days.
Founded in 2010, ModMed provides cloud-based specialized EHR systems. The software is used by doctors such as orthopedists, otolaryngologists, and dermatologists.
Former ModMed executive Amanda Long sued the company as a whistleblower in 2017.she complain, opened on Friday, claiming the company made false statements to obtain certification and market its software. software. One allegation is that the company switched back and forth between different versions of its software during remote certification testing to complete certain tests.
Long claims that the employee manually changed the computer display so the software appeared to perform a function it was not capable of. She claimed that, as of 2017, the software had a number of persistent issues that made it unreliable and posed a patient safety risk.
Long also said that ModMed improperly influenced vendor customers to prescribe certain drugs based on the e-coupon company’s recommendations. These companies and ModMed profit from increasing prescriptions for these drugs. ModMed also allegedly made medical professionals pay consultants to promote its EHR and paid hundreds of dollars for each successful client referral.
Providers using ModMed’s electronic medical records also found that the software used billing codes for procedures and office visits, resulting in higher billing revenue, including Medicare claims, the complaint said.
ModMed denies the allegations and will vigorously defend them, a spokesman said in a statement. “We stand by the integrity of our products and our employees. We remain true to our mission of putting physicians and patients at the center of care through an intelligent, professional cloud platform,” the spokesperson said.
Long’s attorneys have worked with whistleblowers on three other cases against EHR companies, including electronic clinical work Settled at $155 million in 2017.
The federal government has stepped in the other five False claims lawsuits against EHR companies, including the eClinicalWorks case. Previous lawsuits ended in settlements.Recently, Athena Health Agreed to pay $18.25 million Settle a lawsuit claiming it paid illegal kickbacks to boost sales.
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