DaVita settles state portion of federal anti-kickback case

Denver-based DaVita HealthCare Partners has reached a settlement with Colorado and four other states, including Kentucky, stemming from an anti-kickback investigation involving kidney patients.

The Denver Post reports the settlement with the states is related to an October announcement from the U.S. Justice Department that the company would pay $350 million and a $39 million fine to resolve a federal investigation.

Federal prosecutors say the company paid kickbacks to doctors in exchange for dialysis patients that fueled profits.

Colorado Attorney General John Suthers says the state will share $22 million with California, Florida, Kentucky and Ohio. Colorado’s portion is $3 million.

DaVita operates about 2,100 dialysis clinics and has entered into about 300 ventures with doctors. The company treats about 170,000 patients in the United States at outpatient dialysis centers.

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Information from: The Denver Post, http://www.denverpost.com