Stark II Regulations [42 U.S.C.A. § 1395nn(h)(6) (1993)]

Amendment to Stark I as part of the Omnibus Budget Reconciliation Act (OBRA) of 1993. Its purpose was to prevent a physician from referring a Medicare or Medicaid patient to a facility in which the physician has a financial interest. It prohibits any payment paid directly or indirectly to providers. A facility might have services such as physical therapy, occupational therapy, radiology and other diagnostic services, radiation therapy, durable medical equipment, parenteral and enteral nutrition, equipment and supplies, prosthetics and orthotics, home health services, outpatient prescription drugs, and inpatient or outpatient hospital services. This law encouraged doctors to form groups and join health systems as employees. Sometimes referred to as antikickback act or antikickback statute .

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