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01/25/2012 02:09 PM

Cayuga Medical Center to pay settlement

By: Web Staff

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TOMPKINS COUNTY, N.Y. -- Cayuga Medical Center in Ithaca has agreed to pay more than $3.5 million as part of a settlement with the U.S. Attorney's Office.

The U.S. Attorney says it stems from alleged false claims submitted by the Medical Center to Medicare and Medicaid. A plastic surgeon who used to practice in Ithaca said the Medical Center made improper physician recruitment agreements with various medical practices.

About $426,000 of the settlement will go to the state of New York. $3.1 million goes to federal health care programs.