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AG Slatery Sues Physician for TennCare Fraud

Neurologist billed $700,000 for acupuncture devices
Wednesday, June 10, 2020 | 01:36pm

Nashville- Tennessee Attorney General Herbert Slatery III filed a lawsuit in Davidson County Chancery Court today alleging that neurologist, James P. Anderson, and his corporation, Affiliated Neurologists, violated the Tennessee Medicaid False Claims Act.

In the lawsuit, the State alleges Dr. Anderson billed TennCare using reimbursement codes for a very expensive spinal cord stimulation device. However, he was really using acupuncture devices that are not covered under TennCare.

The acupuncture device in this case, the Neuro-Stim, goes by several different names. The suit alleges Anderson paid $520 for each Neuro-Stim device. However, by entering incorrect billing codes to make it appear he was using something much more complicated, TennCare paid between $3,000 and $6,000 for each device.

The State seeks to recover $2,108,391, of which approximately $700,000 is for payments for the device and the remainder would be statutory penalties.

“This Office will not tolerate medical device fraud in Tennessee,” said General Slatery. “This is deceit, plain and simple, and it robs TennCare of much needed funds.”

To read the complaint, click here: https://www.tn.gov/content/dam/tn/attorneygeneral/documents/pr/2020/pr20-27-complaint.pdf

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Press Release #20-27:  AG Slatery Sues Physician for TennCare Fraud