Which statute specifically governs physician referrals based on financial relationships in some contexts?

• A. Stark Law
• B. False Claims Act
• C. Anti-Kickback Statute
• D. HIPAA

Answer: (A)

Stark Law specifically governs physician referrals based on financial relationships. It bars a physician from referring patients for designated health services that Medicare or Medicaid will pay for if the physician (or a family member) has a financial relationship with the entity providing the services, unless the arrangement fits one of the recognized exceptions. The emphasis is on the presence of a financial relationship and the referral itself, not on the physician’s intent. Because it’s strict liability, a violation can occur even without proof of intent. Penalties can include civil monetary penalties, exclusion from federal programs, and recoupment of paid claims. This focus makes Stark Law the best answer here compared to the other statutes: the Anti-Kickback Statute covers broadly paying or receiving kickbacks to induce referrals (with intent and broader scope), HIPAA governs patient privacy and data security, and the False Claims Act deals with submitting false claims rather than the referral arrangement itself.