UNC Rex Healthcare Agreed to Pay $2.2 Million for Allegedly Violating the Civil Monetary Penalties Law by Paying Remuneration in the Form of Excessive Salary and Bonus Payments

After it self-disclosed conduct to OIG, Rex Hospital, Inc. d/b/a UNC Rex Healthcare (Rex), North Carolina, agreed to pay $2,277,762 for allegedly violating the Civil Monetary Penalties Law provisions applicable to physician self-referrals and kickbacks. Rex disclosed that it leased an employed physician from a community hospital for the provision of cardiology services at the community hospital. OIG contends that during this time the community hospital paid Rex a fee for the lease of the physician and Rex paid the physician salary and bonus payments for the cardiology services performed by the physician at the community hospital. OIG alleged that Rex offered and paid remuneration in the form of salary and bonus payments to the physician that were in excess of the community hospital's lease fee to Rex and that should have been paid by the community hospital.

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