A New York physician was recently sentenced in federal court for receiving kickbacks in exchange for ordering medically unnecessary brain scans. Vishnudat Seodat of Mattituck had practiced for 36 years and operated three “New York Health” offices on Long Island. He announced his retirement in a letter to patients last month.
From 2013 to 2019, Seodat conspired with a mobile medical diagnostics company to order more than 500 medically unnecessary transcranial doppler (TCD) scans in exchange for kickbacks of $100 cash per test. TCD scans measure blood flow in the brain. The company fraudulently billed Medicare and private insurance companies approximately $1 million and paid Seodat about $52,000 in cash kickbacks.
Conspiracy to commit healthcare fraud can lead to a sentence of up to 10 years in prison and a fine of $250,000. However, Seodat was sentenced to only two years of supervised release, including one year of house arrest. He was also ordered to pay a fine of $50,000, forfeiture in the amount of $52,100, and $342,876 in restitution.
Mobile diagnostic testing arrangements have been of interest to federal fraud investigators for many years, and TCD testing is now a prime target.
Sign up to receive Rivkin Rounds at www.RivkinRounds.com.