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Dermatology Management Company Agrees to Resolve False Claims Act Allegations for $8.9M

A Texas entity that manages and operates dermatology practices, surgical centers, and pathology laboratories across the United States has agreed to pay the United States $8.9 million to resolve allegations, which were self-reported, of potential violations of the Physician Self-Referral Law (the Stark Law) and the Anti-Kickback Statute (AKS), announced U.S. Attorney for the Northern District of Texas Leigha Simonton.  The United States contends that these potential violations resulted in liability under the False Claims Act.

Per the terms of a civil settlement executed on September 12, 2023, Oliver Street Dermatology Management LLC will pay the government $8,892,079.72 – including $5,928,053.15 in restitution—within 10 days of the settlement. The settlement credits Oliver Street for its self-disclosure and collaboration with government investigators. The self-reported conduct was unknown to the United States at the time of the self-disclosure, and was specific as to the nature of the potentially problematic transactions, the personnel involved, and the potential financial impact on the Government.

According to the settlement agreement, from January 2013 to July 2018, Oliver Street – doing business as U.S. Dermatology Partners (USDP) — acquired numerous dermatology practices across the United States.


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