Freeman Health System has agreed to pay $9.3 million to resolve allegations that it violated the Stark Law and the False Claims Act by knowingly providing incentive pay to physicians in a manner that violated federal law, the Justice Department announced today in a statement released from Washington. In a statement released Monday, Paula Baker, president of Freeman Health System, said the 2009 internal review revealed that Freeman had inadvertently made errors in the way it structured compensation agreements for some office-based physicians and that those agreements did not meet what it described as "very complex" federal guidelines.
