Michigan Hospital to Pay $791K in Settlement over Needless Tests

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A Detroit-area hospital has agreed to pay $791,000 to settle allegations that it billed for unnecessary lab tests.

The case against Crittenton Hospital Medical Center is linked to Dr. Farid Fata. He’s serving a 45-year prison sentence for putting patients through needless cancer treatments.

The U.S. Attorney’s Office says patients were referred to Crittenton by Fata and doctors in his office. The government says a Fata office manager blew the whistle and will get $158,000.

The government says Crittenton and its parent, Ascension Health, voluntarily disclosed the lack of medical necessity in the lab tests.

Spokesman Brian Taylor says the hospital is cooperating with the government on issues that preceded Ascension’s acquisition of Crittenton about two years ago.