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Prime Healthcare, Dr. Prem Reddy to pay $37.5 million over alleged kickbacks

For-profit Prime Healthcare and two of its medical doctors have agreed to pay the federal authorities $37.5 million to settle allegations of kickbacks involving implantable medical units and the well being system’s buy of a surgical procedure middle.

The settlement settlement introduced Monday is a joint decision with the U.S. Division of Justice and the California Division of Justice. It facilities on alleged violations of the federal False Claims Act and California’s False Claims Act.

The settlement holds that Dr. Prem Reddy, Prime’s founder and CEO, should pay nearly $1.8 million. Dr. Siva Arunasalam, a California interventional heart specialist, should pay $2 million and Prime should pay $33.7 million. The U.S. will get $35.5 million of the proceeds and California will get $2 million. Prime and Reddy paid $65 million to settle earlier unrelated allegations of false claims and overbilling in 2018.

Prime, based mostly in Ontario, Calif., allegedly paid

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