Special Fraud Alert: Physician-Owned Entities

This special fraud alert addresses physician-owned entities, frequently referred to as physician-owned distributorships or 'PODs,' that derive revenue from selling, or arranging for the sale of, implantable medical devices ordered by their physician-owners for use in procedures the physician-owners perform on their own patients at hospitals or ambulatory surgical centers (ASCs). This Special Fraud Alert focuses on the specific attributes and practices of PODs that OIG believes produce substantial fraud and abuse risk and pose dangers to patient safety.

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