EKRA Violation?

[anonymous]

There has been a lot of discussion about this. Does paying lab reps a % of sales in itself represent an EKRA violation?

 

[WBI Law Firm]

The Eliminating Kickbacks in Recovery Act (EKRA) was created to place criminal penalties for “patient brokering,” by recovery homes and treatment facilities. The language of the statute is very broad and includes all type of lab facilities. The statute also expressly prohibits use of kickbacks by laboratories like paying their reps a percentage of sales. A laboratory or individual that violates the statute, can be fined up to $200,000 and/ or imprisonment of up to 10 years for each occurrence. EKRA does not provide the person coming forward with the information any type of remuneration. Paying lab reps, a commission on each sale also violates the Anti-Kickback Statue which does provide a whistleblower reward for the person that comes forward.

 

[anonymous]

There has been a lot of discussion about this. Does paying lab reps a % of sales in itself represent an EKRA violation?

Clearly it is. Go check the law and it clearly states that no lab can compensate a rep based on the amount billed or collected or even based on the number of specimens so that is a clear violation. It does not get more clear than that. Obviously they have to pay you a percentage of either the amount billed or collected so how in the world would you even doubt yourself that this isn't a violation?

 

[WBI Law Firm]

Hi,

We never stated that the alleged conduct is not a violation of EKRA, but EKRA does not grant a whistleblower reward nor any of the protections under the Federal False Claims Act. To be eligible for a reward and the protections under the law your best strategy is to allege and find violations to the Anti Kickback Statute.

 

[anonymous]

If a lab is paying the office manager to also be a collector, is this an ekra violation?? Paying collectors for hours when the office is closed?