32.1-315 - Solicitation or receipt of remuneration for certain services; offer or payment of remuneration for inducement of such services; penalty. - Virginia Statutes

§ 32.1-315. Solicitation or receipt of remuneration for certain services;offer or payment of remuneration for inducement of such services; penalty.

A. A person shall be guilty of a Class 6 felony and, in addition, may befined an amount not to exceed $25,000, if he knowingly and willfully solicitsor receives any remuneration, including any kickback, bribe or rebate,directly or indirectly, overtly or covertly, in cash or in-kind, or causessuch remuneration to be solicited or received:

1. In return for referring an individual to a person for the furnishing orarranging for the furnishing of any item or service for which payment may bemade in whole or in part under medical assistance; or

2. In return for purchasing, leasing, ordering, or arranging for orrecommending purchasing, leasing or ordering any goods, facility, service oritem for which payment may be made in whole or in part under medicalassistance.

B. A person shall be guilty of a Class 6 felony and, in addition, may befined an amount not to exceed $25,000, if he knowingly and willfully offersor pays any remuneration, including any kickback, bribe, or rebate, directlyor indirectly, overtly or covertly, in cash or in-kind to any person toinduce such person, or causes such remuneration to be offered or paid:

1. To refer an individual to a person for the furnishing or arranging for thefurnishing of any item or service for which payment may be made, in whole orin part, under medical assistance; or

2. To purchase, lease, order, or arrange for or recommend purchasing, leasingor ordering any goods, facility, service or item for which payment may bemade in whole or in part under medical assistance.

C. Subsections A and B shall not apply to:

1. A discount or other reduction in price obtained by a provider of servicesor other person under medical assistance, if the reduction in price isproperly disclosed and appropriately reflected in the cost claimed or chargesmade by the provider or other person under medical assistance;

2. Any reasonable compensation paid by an employer to an employee who has abona fide employment relationship with such employer, for employment in theprovision of covered items or services;

3. An agreement by health care providers for the group purchase of equipment,goods, services, or supplies which results in fees paid to an agent of theproviders, when such agreement has been presented to and authorized by theDepartment of Medical Assistance Services on the basis that the agreementwill reduce the costs of providers of institutional services; and

4. Any remuneration, payment, business arrangement or payment practice thatis not prohibited by 42 U.S.C. § 1320a-7b(b) or by any regulations adoptedpursuant thereto.

D. The Director of the Department of Medical Assistance Services mayterminate or deny a contract to a provider for any violation of this sectionpursuant to § 32.1-325.

(1981, c. 255; 1986, c. 551; 2003, c. 312; 2010, c. 305.)