Medical device manufacturer THD America Inc. and its corporate parent, THD SpA of Italy, have agreed to pay $700,000 to resolve allegations that THD violated the False Claims Act by knowingly causing physicians to use incorrect codes to obtain inflated reimbursement from Medicare and state Medicaid programs for the use of THD’s hemorrhoid removal system, which is called the Slide One Kit. The United States alleged that physicians performing procedures using the kit were required to bill for the procedure using a temporary code, also known as a “T-Code,” assigned for new and emerging services. But reimbursement for the kit’s use was often denied. To avoid such denials and increase potential reimbursement, THD allegedly encouraged surgeons to improperly bill Medicare and Medicaid programs using the T-Code plus an additional CPT code or to bill for CPT codes other than the T-Code. Read a story from KTTN and a Department of Justice press release.