Medical imaging provider to investigate improper Medicare billing allegations

Australia's Integral Diagnostics, a major medical imaging provider, is launching an investigation into allegations of improper Medicare billing practices at a regional Western Australian public hospital. The probe follows revelations that rebates were allegedly claimed incorrectly by its subsidiary, Apex Radiology, which operates the radiology department at Kalgoorlie Health Campus.

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IDX [Integral Diagnostics] and Apex are obviously concerned about the allegations being made and out of an abundance of caution we will conduct an external audit to confirm that there are no billing anomalies.

Concerns have surfaced regarding a variety of improper billing activities. These include the use of incorrect Medicare billing codes leading to double-billing, and charging patients for services that were never rendered. Specific examples cited involve improperly claiming rebates for radiologist consultations that patients did not receive, and instances of charging twice for CT scans.

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My office received additional information, we shared that with the department, they then came to a different view.

Integral Diagnostics company secretary John Merity stated the company was unaware of any billing issues on its part but would conduct an external audit out of an abundance of caution. Meanwhile, the WA Health Minister, Meredith Hammat, has referred the matter to the state's Corruption and Crime Commission (CCC). This referral comes after an initial government investigation reportedly did not identify any concerns, but a subsequent review, prompted by new information, led to a different conclusion. The CCC has been contacted for comment.

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We have made a referral so that we can have a closer look at the billing practices, so that we are clear about what's going on here.