Newark, NJ – Dr. Arun Sehgal, along with his Ramsey-based practice Preventive & Diagnostic Medical Center P.A., has agreed to pay $693,490 plus interest to settle allegations of violating the False Claims Act, as announced by U.S. Attorney Philip R. Sellinger.
The Paramus veterans home mistreated patients, leaving many to die alone during COVID-19, according to reports. It was one of the worst cases of senior neglect in the country during the COVID-19 pandemic. The doctor admitted to multiple benefits fraud allegations during that time.
The allegations against Dr. Sehgal and his medical practice involve upcoding physician services, billing for more services than could be provided in a single day, and billing for services not rendered by Dr. Sehgal. These practices were reportedly conducted while Sehgal served as the medical director at the New Jersey Veterans Memorial Home in Paramus, New Jersey.
This settlement addresses three specific allegations from January 1, 2017, to June 1, 2022. The defendants are accused of upcoding Current Procedural Terminology (CPT) codes to bill for more complex and costly services than those actually provided.
They also faced claims of submitting bills for an impossibly high volume of services in a single day, such as on March 2, 2018, when billed services exceeded 43 hours. Additionally, Dr. Sehgal allegedly billed for services to Medicaid beneficiaries on days he was not in the United States.
The case was pursued by the U.S. Attorney’s Office, District of New Jersey’s Opioid Abuse Prevention and Enforcement Unit, and the Department of Justice’s Civil Division Fraud Section, highlighting the government’s commitment to combating healthcare fraud through the use of the False Claims Act.