United States v. Chantal Swart
The case underscores scrutiny on genetic testing billing, telemarketing/telemedicine referral networks, and the use of “non-treating physicians” and call centres to generate orders. For compliance officers/health-care providers, the case highlights risks in arrangements with marketers/referral sources, sham contracts disguising kickback relationships, and submitting claims where the tests are not medically necessary or integrated into treatment.
In June 2024, a federal grand jury indicted Chantal Swart of Palm Beach County, Florida, alongside co-defendant Harold Albert “Al” Knowles, for their roles in a scheme to bill Medicare some $359 million for medically unnecessary genetic tests. The indictment alleges that Knowles owned two Houston-area clinical labs and Swart ran a telemarketing/referral operation. Swart is charged with conspiracy to defraud the United States, conspiracy to pay and receive health-care kickbacks, and receipt of health-care kickbacks. The scheme allegedly involved referring Medicare beneficiaries’ DNA samples, obtaining doctors’ orders via telemedicine or call centers (not treating physicians), and disguising payments via sham flat-fee contracts.