publication date: Dec. 5, 2014

NYC Doctor Pays $2.35 Million To Settle False Claims Act Suit Over Radiosurgery Reimbursements


A New York City radiation oncologist who specializes in fractionated stereotactic radiosurgery and stereotactic body radiation therapy agreed to pay $2.35 million to resolve a 10-year-old Medicare fraud lawsuit.

In a settlement announced Nov. 24, Gilbert Lederman, who now heads Radiosurgery New York, settled a whistleblower suit related to Medicare claims for 300 patients treated between the mid-1990s and 2003.

Lederman is known in the New York area for the radio ads in which he promotes his treatment as an alternative to chemotherapy and radiation for newly diagnosed and recurrent cancers.

He may be even better known as the doctor who treated George Harrison’s brain metastases in 2001, convincing the former Beatle to sign an electric guitar. The episode is described in detail in New York Magazine.

In 2008, Lederman’s previous employer, Staten Island University Hospital, agreed to pay $25 million to settle the government’s charges of systematically miscoding Medicare claims to indicate that he had treated patients above the neck in order to obtain Medicare coverage.

The autographed guitar didn’t turn out well, either. Lederman had to destroy the instrument in 2004, after Harrison’s estate claimed in a lawsuit that the doctor took advantage of a dying patient.

During the period in question, Medicare paid for fractionated stereotactic radiation only when it was delivered above the neck. However, in 2003, a code was added to cover stereotactic radiation below the neck.

“Providers who misrepresent their services—whether for the purpose of obtaining greater reimbursement or in an effort … Continue reading 40-45 NYC Doctor Pays $2.35 Million To Settle False Claims Act Suit Over Radiosurgery Reimbursements

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