American Health Imaging and Former CEO Settle $5.25 Million Kickback Allegations
American Health Imaging, Inc. (AHI) and its former founder and CEO, Scott Arant, have agreed to pay $5,250,000 to the United States and the State of Georgia to resolve allegations of violating the False Claims Act. The allegations include providing kickbacks to physicians to secure referrals for diagnostic scans and entering into above-market personal service agreements with referring physicians.
Federal authorities allege that from 2011 to 2019, AHI incentivized referrals by offering gifts such as meals, tickets to sporting events and concerts, fishing trips, alcohol, gas cards, free scans, and sponsorships of “open houses” at physician offices. Investigators claim many of these events lacked any educational purpose, citing examples like SEC football championship tickets and nail salon outings. Additionally, AHI is accused of compensating physicians at above-market rates for interpreting scans they had referred.
“The use of inducements to obtain referrals from medical professionals jeopardizes the integrity of our healthcare programs,” said U.S. Attorney Ryan K. Buchanan.
Special Agent in Charge Kelly J. Blackmon of the U.S. Department of Health and Human Services Office of Inspector General emphasized, “Paying or accepting kickbacks for referrals undermines the integrity of the Medicare program.”
The case was filed under the False Claims Act’s whistleblower provisions by former AHI employee Tanya Benjamin, who will receive a portion of the settlement. The lawsuit, captioned United States and State of Georgia ex rel. Benjamin v. Arant et al. (Case No. 1:15-cv-3242-RWS), was filed in the Northern District of Georgia.
The settlement was negotiated by the U.S. Attorney’s Office for the Northern District of Georgia, the U.S. Department of Health & Human Services Office of Inspector General, and the Georgia State Attorney General’s Medicaid Fraud Division.
No liability was determined as part of the settlement.
