News from the Health Law Gurus™: Week of August 17, 2014

August 22, 2014 | By Lawrence J. Tabas

News from the Health Law Gurus™ is a weekly summary of notable health law news from around the country with helpful links to related content. Check back every week for the latest health law news stories.

Chinese Hackers Infiltrate Health System Network Affecting 4.5 Million Individuals – Community Health Systems, Inc. (“CHS”) reported this week that the information of approximately 4.5 million individuals has been affected by a Chinese cyber-attack. CHS and its affiliates own and operate 206 hospitals in 29 states. CHS stated in a report filed with the Securities and Exchange Commission on Monday that the attackers, believed to be a group originating in China, “used highly sophisticated malware and technology to attack” its computer network. Read our full blog post here.

Verify Inconsistencies in your Federal Health Insurance Marketplace Application by September 5, or Lose Your Coverage – The Federal Health Insurance Marketplace (“Marketplace”) is seeking to correct consumers’ citizenship or immigration data inconsistencies. An inconsistency exists if the information that a consumer provided on his or her Marketplace application does not match the information that the government has on file. Consumers must submit additional supporting documentation by September 5, 2014, or they will lose their Marketplace health insurance coverage on September 30, 2014. To see the announcement on, click here.

Dental Services Subject to OIG Scrutiny – The United States Department of Health and Human Services Office of Inspector General (“OIG”) published a report this week regarding questionable billing practices of dentists based in Louisiana. According to the report, the OIG identified 27 dental providers with questionable billing practices for pediatric dental services. The OIG concluded that its findings raised concerns about certain providers who “may be billing for services that are not medically necessary or were never provided” and about “the quality of care provided to children with Medicaid.” To read a copy of the report, click here.

Cardiologists Settle with Government for More than $1.33 Million Regarding Alleged False Claims Act and Stark Law Violations – A group practice of cardiologists, doing business as the New York Heart Center, will pay the government more than $1.33 Million to settle alleged violations of the False Claims Act and Stark Law, the Department of Justice (“DOJ”) announced last Thursday. According to the government, the group’s partner-physician compensation was allegedly determined using a formula that accounted for the volume or value of physician referrals. Thomas O’Donnell, Special Agent in Charge, stated that, “[t]he compensation system in place in this case had the potential to influence medical judgment, which would be unacceptable.” To read the press release, click here.

About the Authors

Lawrence J. Tabas


Lawrence is the Chair for Obermayer’s Health Care Law Department and Election Law Practice Group. Lawrence’s Health Care Law legal experience includes the representation of Pennsylvania County governments in Behavioral Health Managed...

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