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News/Compliance & Enforcement/Cardiologist Pays $6.5 Million to Resolve Allegations He Paid Kickbacks for Referrals
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False Claims Act·Compliance & Enforcement Brief

Cardiologist Pays $6.5 Million to Resolve Allegations He Paid Kickbacks for Referrals

Department of Justice – Klaus Peter Rentrop and his practice Gramercy Cardiac Diagnostic Services have agreed to pay $6.5 million to resolve allegations they paid millions of dollars in kickbacks for patient referrals.

From 2010 to 2021, Rentrop and Gramercy Cardiac rented office space from other physicians and practices (often above market rate), to induce them to refer patients to the Gramercy-affiliated cardiologists who used that rented space. These cardiologists then ordered diagnostic tests and procedures that were performed at Gramercy Cardiac locations, and were paid a flat fee for each referral. Rentrop and Gramercy will pay $4.5 million to the United States and just under $2 million to the state of New York. Rentrop has also agreed to sell Gramercy and give a portion of the proceeds to the United States, and that he will owe nearly $65 million if he fails to make payments as ordered.

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