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Arthritis & Rheumatology Center and Owner Settle for $2.18 Million Amid False Claims Act Allegations

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Published on January 30, 2026
Arthritis & Rheumatology Center and Owner Settle for $2.18 Million Amid False Claims Act AllegationsSource: Google Street View

The Arthritis & Rheumatology Center, P.C. (ARC) and its owner, Dr. Jatin Patel, have agreed to a $2.18 million settlement to resolve allegations of violating the False Claims Act, according to the Justice Department’s Northern District of Georgia. The claims stated that ARC improperly allowed medical assistants to administer infusion services in violation of Georgia law and submitted reimbursement claims to Medicare for those services.

The U.S. Department of Justice stated that U.S. Attorney Theodore S. Hertzberg highlighted the importance of following state and federal laws, particularly regarding patient care. The settlement resolves an investigation prompted by a whistleblower complaint, which alleged that ARC was using unlicensed medical assistants to administer chemotherapy infusions to patients.

The lawsuit was filed under the False Claims Act’s qui tam provisions by former ARC employee Phillips Allender, allowing private citizens to sue on behalf of the United States and receive a portion of recovered funds. The Justice Department reported that Allender will receive $414,200 from the settlement.

The settlement does not constitute an admission of liability by ARC or Dr. Jatin Patel, and the allegations remain unproven. Further details on the case can be found in U.S. ex rel. Allender v. Arthritis & Rheumatology Center, P.C. and Jatin Patel, M.D., No. 1:21-cv-4530-MLB. Assistant U.S. Attorney Adam D. Nugent oversaw the investigation, which was conducted by the U.S. Attorney’s Office for the Northern District of Georgia.

For more information, individuals can contact the U.S. Attorney’s Public Affairs Office or visit their website. The case underscores the federal government’s ongoing efforts to combat healthcare fraud, safeguard patients, and maintain the integrity of federally funded health programs.