State audit says ex-University of Iowa doctor improperly billed insurers, diverted payments

Associated Press

A former doctor for University of Iowa Health Care improperly billed insurers and diverted nearly $1.9 million in collections into his personal bank accounts, according to a new report by the state auditor that has been forwarded to prosecutors.

The university had requested a special investigation into actions by Dr. Brian Adams, who worked in the Department of Orthopaedics and Rehabilitation from December 1992 until resigning last August. The state auditor's office said in a news release Thursday that Adams' actions violated his contract.

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Attempts by The Associated Press to reach Adams by phone and email were unsuccessful. It's unclear whether he has an attorney.

The auditor's office filed copies of its report with law enforcement, including Johnson County prosecutors. A representative for the prosecutor's office didn't immediately respond to a call seeking comment.

Online court records don't show any charges pending against Adams. University spokesman Tom Moore said the school is not pushing for charges to be brought but will cooperate with prosecutors, if asked.

According to the report, Adams diverted nearly $405,000 in fees from patients and more than $426,000 in fees for nonmedical services, such as providing expert testimony. He also diverted more than $1 million in consulting fees and royalties from companies he represented or for which he helped develop products, it alleges.

The university said doctors in its employ are barred from directly receiving payments for services performed within the scope of their employment.