Northwest Arkansas Hospitals LLC will pay the state over $1 million to settle 246 Medicaid claims, according to Attorney General Tim Griffin.
He announced the settlement on Friday after an investigation pursuant to the Arkansas Medicaid False Claims Act.
The claims were based on medical evaluations, diagnoses and supporting documentation certified by Dr. Brian Hyatt and nonphysician providers working under his control and supervision, according to a news release from Griffin's office.
Hyatt, a Rogers psychiatrist, was chairman of the Arkansas State Medical Board until he stepped down on March 2.
"The investigation of Dr. Hyatt continues unabated, and NWA Hospitals LLC is cooperating fully," Griffin said in a text message response to a reporter's question.
At the time an appeal was filed, Hyatt was a subcontractor with Northwest, according to the release from Griffin's office.
In the settlement, Northwest denied that it knowingly violated the False Claims Act but acknowledged that "many of the medical records supporting the covered claims contain templates created and used by Hyatt, and that the records may lack certain details and may be difficult or impossible to audit."
"While state and federal law give great deference to the diagnosis made by a medical doctor, all Medicaid providers must maintain complete and accurate records that justify claims filed and fully document the medical necessity of all services," according to the news release.
"Northwest will repay the...
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