Cayuga Medical Center N.Y. Settles Stark Violation for $3.5M

Cayuga Medical Center in Ithaca will pay more than $3 million to settle claims that it submitted false claims to Medicare and Medicaid.

That’s the word from federal prosecutors who say they have settled a matter involving allegations that the medical center submitted the false claims in connection with improper physician recruitment agreements entered into between Cayuga Medical Center and various medical practices.

Under the terms of the agreement, Cayuga Medical Center agreed to pay a total sum of $3,576,056. Of that amount, the State of New York will receive more than $426,000 and federal health care programs will recover about $3.1 million.

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