SF Chinatown physician agrees to pay over $1 million to settle allegations of false Medicare charges

(SAN FRANCISCO) Dr. Roger Wang, a physician and rheumatology specialist practicing in San Francisco Chinatown, has agreed to pay over $1 million to the federal government to settle the allegations that he violated the False Claims Act by charging Medicare for non-FDA-approved drugs and associated services.

United States Attorney of the Northern District of California Stephanie M. Hinds announced the civil settlement on May 24. It was a joint investigation between a number of the federal government agencies, including the U.S. Department of Health and Human Services, and the Food and Drug Administration (FDA).

Wang has operated an Allergy, Asthma and Arthritis Center at the Mandarin Tower on Stockton Street in San Francisco Chinatown. He received his medical degree from the University of New England College of Osteopathic Medicine at Maine in 2003. Wang is affiliated with local hospitals in the Bay Area, including Chinese Hospital and St. Francis Memorial Hospital.

Wind Newspaper has reached out to Maxwell Cooper, the attorney representing Wang in the case. "Dr. Wang disagrees with the government’s allegations about his conduct as set forth in its press release dated May 24, 2022. Under the terms of the settlement, Dr. Wang admits no wrongdoing, and he is pleased to put this behind him," Cooper commented.

According to the settlement released by the U.S. Attorney Office in San Francisco, viscosupplements, such as Synvisc, Synvisc One, and Orthovisc, are FDA-approved drugs injected for the treatment of osteoarthritis pain.

Wang was alleged that he purchased and injected into his patients versions of Synvisc, Synvisc One, or Orthovisc that were not approved by the FDA for distribution in the United States.

As a result, the costs of the non-FDA-approved injections and related drugs were not covered by Medicare, a federally funded health insurance program for people who are aged 65 and older.

The U.S. Department of Justice (USDOJ) alleged that Wang knowingly submitted thousands of false claims for reimbursement for non-FDA-approved Synvisc and Orthovisc and related procedures. Specifically, Wang was alleged to use the non-FDA-approved drugs that were packaged and labeled for use in foreign markets. At least some of the labeling was for additional uses not approved in the United States.

According to the agreement, from June 30, 2015, to December 1, 2019, Wang submitted claims to Medicare for reimbursement for non-FDA-approved Synvisc and Orthovisc, and for injection procedures.

The settlement agreement between Wang and USDOJ was reached on May 22 to resolve the claims that the federal government might have brought based on the allegations. Wang agreed to pay the total amount of $1,033,666.42 in respect to the alleged violations of the False Claims Act.

“When Medicare pays for drugs and services, the government expects doctors to follow the rules in place to protect patient safety,” said U.S. Attorney Stephanie M. Hinds. “In this case, the rules require doctors seeking reimbursement from Medicare for injecting viscosupplements to use FDA-approved drugs. This office will hold accountable anyone who seeks to cut corners by defrauding American taxpayers and risking harm to patients by using unapproved medications.”

"Physicians who bill Medicare for ineligible medications and procedures defy basic requirements for their participation in the program and wrongfully attempt to collect taxpayer funds," stated HHS-OIG Special Agent in Charge Steven J. Ryan. "We will continue to work closely with our law enforcement partners to investigate bad actors that cheat federal healthcare programs and flout their safeguards meant to protect patients’ health and well-being.”

“Drugs and devices that are produced and distributed outside the FDA’s oversight present the prospect of harm to the public health,” said Special Agent in Charge Lisa L. Malinowski, FDA Office of Criminal Investigations, Los Angeles Field Office.