A settlement reached to resolve False Claims Act Allegations against Dr. Labib E. Riachi of New Jersey, and two companies that he owns and operates, Riachi, Inc and Center for Advanced Pelvic Surgery LLC.
The allegations arose by a lawsuit claiming Dr. Labib E. Riachi and his medical practice companies knowingly submitted millions of dollars in false claims to Medicare and Medicaid for thousands of diagnostic tests that were never performed and for physical therapy services performed by unqualified personnel.
According to the Department of Justice, the defendants routinely billed Medicare and Medicaid for anorectal manometry, an invasive diagnostic test, and electromyography, another diagnostic test, even though most of the tests were never performed. Also, the defendants submitted claims to Medicare for physical therapy services that should not have been paid because they were not performed by a qualified therapist.
Dr. Labib E. Riachi agreed to the $5.25 million monetary settlement over his False Claims Act liability back in February.
The New Jersey physician has not admitted any liability as part of the settlement agreement.
