Tacoma, Wash.-based MultiCare Health has filed a motion to dismiss a complaint brought by federal and state officials against the system, or for summary judgment.
According to court documents, the system sought to dismiss a whistleblower suit alleging the system fraudulently billed federal healthcare programs for spine surgeries performed by Jason Dreyer, DO, at Deaconess Hospital in Spokane between 2019 and 2021.
From 2013 to 2019, Dr. Dreyer practiced at Providence St. Mary's Medical Center in Walla Walla, Wash. In 2019, amid allegations that the neurosurgeon was performing medically unnecessary surgeries, harming patients and falsifying diagnoses, Providence permitted the neurosurgeon to resign, according to the Justice Department.
Prosecutors allege that MultiCare was made aware of "red flags" about Dr. Dreyer from his time at Providence but hired him regardless. He began seeing patients and performing surgery at Deaconess in July 2019. That same year, MultiCare allegedly tied Dr. Dreyer to an incentive compensation structure that rewarded the surgeon based on the volume and complexity of surgeries he performed.
The complaint also alleged that MultiCare allowed Dr. Dreyer to perform surgery despite numerous internal complaints and the Justice Department informing the system that the surgeon was under investigation for potentially harming patients, falsifying diagnoses and performing medically unnecessary procedures.
The Justice Department alleged that MultiCare endangered patients through its conduct and falsely or fraudulently claimed and received millions of dollars in reimbursements from Medicare, Medicard, TriCare and other government healthcare programs between July 2019 and March 2021.
A former patient of Dr. Dreyer's at MultiCare filed a qui tam complaint under seal in the U.S. District Court for the Eastern District of Washington.