Kansas has reached an agreement with a web-based electronic health records company to settle allegations of fraud resulting in improper Medicaid reimbursements. Under the terms of the settlement negotiated by the team of member states and the U.S. Department of Justice, Practice Fusion a web-based EHR company based in San Francisco, has agreed to pay a total of $118,642,000 to the federal government and the states. The settlement resolves allegations by the federal government, 49 states, the District of Columbia and Puerto Rico that the company accepted kickback payments from drug manufacturers in exchange for using its software to promote those manufacturers’ drugs to physicians.

Of this total Attorney General Derek Schmidt says Kansas will receive $180,221.12 for its combined federal and state share of the settlement to be returned to the Medicaid program, in addition to reimbursement for the cost of the litigation.