Former Rheumatologist Settles Civil Fraud Claims for $2 Million

Former Rheumatologist Settles Civil Fraud Claims for $2 Million

Marcia Frellick

July 26, 2021

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A former rheumatologist in Billings, Montana, and his business have agreed to pay more than $2 million to settle civil claims for alleged False Claims Act violations, according to Acting US Attorney for the District of Montana Leif M. Johnson.

Enrico Arguelles, MD, and his business, the Arthritis & Osteoporosis Center (AOC), which closed in September 2018, agreed to the settlement with the US Attorney's Office on July 14.

Under terms of the settlement, Arguelles and the AOC must pay $1,268,646 and relinquish any claim to $802,018 in Medicare payment suspensions held in escrow for AOC for the past 4 years by the Centers for Medicare and Medicaid Services.

Attempts to reach Arguelles or his attorney for comment were unsuccessful.

"This civil settlement resolves claims of improper medical treatments and false billing to a federal program. Over billed and unnecessary claims, like the ones at issue in this case, drive up the costs for providing care to the people who really need it," Johnson said in a statement.

Among the allegations, related to diagnosis and treatment of rheumatoid arthritis, were improper billing for MRI scans, improper billing for patient visits, and administration of biologic infusions such as infliximab(Remicade) for some patients who did not have seronegative rheumatoid arthritis, from January 1, 2015, through closure of the AOC office in 2018, the press release from the Department of Justice stated.

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