Recommending to clients that they self-disclose violations of the False Claims Act often creates a lot of anxiety. It is a certainty that self-disclosure will be percevied as a good faith effort to by the provider to correct the conduct. It is also true that, without the disclosure, OIG might not identify the wrongful conduct.
Trey Hendershot, for Hendershot Cowart, PC discusses why self-disclosure is almost always the best course of action.
[T]he OIG Self-Disclosure Protocol generally benefits the provider in several ways:
The OIG views a good-faith disclosure as an indication of a robust and effective compliance program. As a result, many self-disclosed violations are resolved through settlements that do not involve exclusion from participation in federal healthcare programs.
The OIG believes that entities that self-disclose and cooperate deserve to pay a lower multiplier on damages than normally would be required in resolving an DOJ-led investigation.
The Self-Disclosure Protocol may mitigate potential exposure under the Civil Monetary Penalties Law and the False Claims Act.
Providers can expect a streamlined and less costly review and resolution process upon acceptance into the Self-Disclosure Protocol.