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February 10, 2014

SelfRefind’s $15.75 million lawsuit settlement won't affect local services

Feb. 10, 2014 — SelfRefind of Morehead is among 12 addiction treatment clinics located throughout Kentucky under the same management.

Former owners Dr. Bryan Wood and Dr. Robin Peavler, along with PremierTox and Addixxion Recovery of Kentucky have agreed to pay $15.75 million, plus interest, to resolve civil allegations that they were submitting claims to Medicare and Kentucky's Medicaid program for unnecessary urine analysis tests.

The Morehead site was among those that are confirmed to have sent urine samples to PremierTox unnecessarily. PremierTox also was owned by Wood and Peavler.

Michele McCarthy, SelfRefind’s government and community liason, said Monday that the businesses are under new ownership and no services at the local clinic will be interrupted.

A press release from the Office of the U.S. Attorney, Eastern District of Kentucky, alleged that SelfRefind performed tests that were not medically necessary and more expensive through PremierTox. It was found that PremierTox did not have sufficient equipment to test the large volumes of urine sent by SelfRefind.

“Federal health care programs are essential to many of our citizens,” said U.S. Attorney Kerry Harvey. “We will not tolerate efforts by misguided providers to unfairly enrich themselves at the expense of these programs and the taxpaying public. This settlement underscores the continuing commitment of our office to use every available tool to protect these vital programs from false claims.”

SelfRefind requires patients to submit urine samples as often as every two weeks. This is to ensure that clients are not abusing any drugs, legal or illegal, to make certain that there are no medication interactions and to verify that they are taking their prescribed treatment medications properly.

“This will not create a break or delay in any of our services and we have been collaborating with a new drug testing facility since November,” said McCarthy. “Drug testing is necessary when dealing with addiction to make sure that the health of the patient is safe but we are also making sure that it is done in a respectful way.”

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