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UM plan to pay $35 million for overbilling

SEATTLE, April 30 (UPI) -- The Washington University's physician group will pay 35 million to settle Medicare and Medicaid overbilling allegations, the Justice Department said Friday.

The department said the settlement is the largest ever paid by a physician practice group related to a teaching hospital for failing to comply with federal billing regulations.

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The investigation began in August 1999 when former University of Washington auditor Mark Erickson filed a "whistle blower" complaint under seal in U.S. District Court in Seattle.

In July 2002, former UW neurosurgeon Dr. H. Richard Winn pleaded guilty to obstruction of a federal criminal health care investigation, and in March 2003, UW nephrologist Dr. William Couser pleaded guilty to health care billing related fraud.

Under the settlement agreement, Erickson will receive $7.25 million of the $35 million settlement. The rest will go to reimburse the state and federal governments.

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