According to a settlement agreement, Temple admits no liability for the actions of former ophthalmology school chairman Dr. Joseph Kubacki, who was sentenced in March to 87 months in prison for overbilling insurers, including Medicare, for patient care actually being handled by residents.
Kubacki will pay about $676,000 in restitution, according to the agreement.
Authorities said Temple reported the fraud following an internal investigation that revealed Kubacki was overbilling for patient care actually being handled by residents. Kubacki ended his 28-year career at Temple in November 2007 when medical school officials confronted him.
Kubacki made detailed notes on patient charts to suggest he'd seen the patients, even though he hadn't, prosecutors said. On one occasion, prosecutors said Kubacki billed for patient visits while out of town working as an expert consultant for federal prosecutors in another fraud case.
Prosecutors said other doctors knew of Kubacki's deception but were afraid to challenge him.
Kubacki was convicted in August of 150 counts including health care fraud, wire fraud and making false statements.
