Canton Dentist Settles Improper Rewards Program Case With State

CANTON, MA — A Canton dentist who offered a "loyalty program" that offered monetary incentives and raffle prizes in exchange for frequent treatments and referrals has agreed to pay $135,000 to settle charges involving the scheme that led to improper MassHealth payments to the business. Attorney General Maura Healey had charged Dr. Nathaniel Chan with running the program between October 2014 and December 2017 in which prizes includes Apple TVs, tickets to Boston Red Sox and Boston Bruins games and an Amazon Kindle Fire.

The AG's Office said monetary incentives for Advanced Dental Arts locations in Quincy, Scituate and Norwell escalated based on the number of treatments received and patients referred — ranging from $25 and $100 gift cards and birthday dinner gift certificates for "VIP" patients. The AG's Office said this kind of incentive encourages patients to book medically unnecessary appointments that MassHealth reimbursed.

"This dentist orchestrated an illegal kickback scheme to boost his own profits at the expense of our MassHealth program, which provides health care to some of our most vulnerable populations," said AG Healey. "Dental providers need to know that we will enforce state law to protect these resources."

Dental practice improprieties are a focus of the AG's Medicaid Fraud Division.

This matter was handled by Managing Attorney Kevin Lownds and Investigator Heather Dwyer, of AG Healey's Medicaid Fraud Division, with substantial assistance from the U.S. Department of Health and Human Services, Office of the Inspector General and MassHealth.