United States Settles $1.66 Million Healthcare Fraud Claim Against Iowa Dermatologist

Des Moines, IA-  An eastern Iowa dermatologist has agreed to settle fraud claims for over $1 million.

Eastern Iowa Dermatology, PLC, located in Bettendorf, and Dr. Manish Kumar have agreed to pay $1.66 million to resolve allegations for violations of the False Claims Act by submitting false claims to Medicare for dermatology office visits and the destruction or removal of skin tags and lesions.

The False Claims Act considers “up-coding”—the practice of exaggerating the amount or complexity of medical services rendered in order to achieve a higher level of reimbursement—a form of fraud.

According to court documents, Dr. Kumar and Eastern Iowa Dermatology, PLC also agreed to an Integrity Agreement and will submit to ongoing monitoring by the U.S. Department of Health and Human Services.

“Health care providers that try to boost their profits by submitting fraudulent claims to Federal health care programs threaten the integrity of those programs and drive up prices for everyone,” said Tamala E. Miles, Special Agent in Charge with the U.S. Department of Health and Human Services Office of Inspector General. “We work tirelessly alongside our law enforcement partners to protect the integrity of Federal health care programs and to ensure the appropriate use of taxpayer dollars.”

The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Southern District of Iowa and the U.S. Department of Health and Human Services Office of Inspector General.