When physicians are not employed by the hospital, “the hospital can only become responsible for the physician’s conduct if it knows the physician is submitting false claims or acts with reckless disregard or deliberate ignorance with respect to the submission of false claims.” Most of the case law supports the premise that “hospitals can reasonably rely on physicians following Medicare rules and regulations unless or until some red flag appears that indicates [otherwise].”
— Washington attorney Robert Salcido, with Akin Gump, told AIS’s Report on Medicare Compliance.
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