$650k settlement in Patel fraud case

BY A STAFF WRITER

LAFAYETTE, LA — A $650,000 settlement has been reached with two businesses and convicted physician Dr. Mehmood Patel over allegations he performed unnecessary medical procedures and billed Medicare.

US Attorney Stephanie Finley made the announcement last week in a news release.

The settlement was reached with Acadiana Cardiology LLC, Acadiana Cardiovascular Center and Patel, who was convicted in 2009 on 51 counts of health care fraud and is serving a 10-year prison sentence.

The U.S. government intervened in a civil lawsuit filed by Dr. Christopher Mallavarpu, a cardiologist who previously practiced with Patel in Lafayette.

Mallavarpu’s lawsuit was brought against Acadiana Cardiology LLC, Acadiana Cardiovascular Center LLC, Mehmood Patel professional medical corporation and Dr. Patel, Finley wrote.

The government intervened in the lawsuit to seek damages under the False Claims Act. The act, a federal civil fraud statute, allows individuals who witnessed fraud to sue on behalf of the US and under some circumstances to share in a portion of any money recovered.

The statute allows the government to recoup money obtained through fraud and misrepresentation.

The US government alleges that between 2000 and 2003, the defendants submitted 207 false claims for unnecessary cardiovascular, endovascular and related procedures that Patel performed at Our Lady of Lourdes Hospital, Lafayette General Medical Center, Acadiana Cardiology and Acadiana Cardiovascular Center.

In August 2006, Our Lady of Lourdes agreed to pay a $3.8 million settlement and in January 2008, Lafayette General agreed to pay a $1.9 million settlement to settle claims.

Patel, who practiced in the Lafayette area for 25 years, was indicted in 2006 on 94 counts of health care fraud. A jury found him guilty in 2008, following a two-month trial, of 51 counts of health care fraud.

Experts said he used radiation, angioplasty stents and balloons in healthy arteries, lying to patients and falsifying records.

Patel billed Medicare and private insurance companies more than $3 million over three years, including nearly $542,000 for unnecessary work.

He was sentenced to the maximum 10 years in prison and five years supervised release. He started serving his sentence in December 2012.

Patel also was ordered to pay $387,511 in restitution and a $175,000 fine,
He had been free while appealing the case, but the 5th US Circuit Court of Appeals in November 2012 rejected his request to stay free while appealing to the U.S. Supreme Court.