California Doctor and Medical Practice Agree to Pay $11.4 Million to Resolve False Claims Act Allegations Relating to Skin Biopsies, Spine Surgeries, and Urine Drug Testing

SACRAMENTO, Calif. — Lags Spine & Sportscare Medical Centers Inc. (Lags Medical) and Francis P. Lagattuta M.D., the owner and medical director of Lags Medical, have agreed to pay $11,388,887 to resolve allegations that they violated the False Claims Act by submitting millions of dollars of false claims to Medicare, Medi-Cal, and the Oregon Medicaid program for medically unnecessary skin biopsies, spinal cord stimulation surgeries, and urine drug testing, U.S. Attorney Phillip A. Talbert announced today.

The settlement resolves allegations that, from 2016 to 2021, Lagattuta and Lags Medical performed medically unnecessary skin biopsies to test patients for small fiber neuropathy.

Read the entire press releaseUS Attorney’s Office, Eastern District of California, July 11, 2023

NICB assisted the investigation.