STATE OF MICHIGAN DEPARTMENT OF LICENSING AND REGULATORY AFFAIRS OF HEALTH CARE SERVICES BOARD OF MEDICINE DISCIPLINARY SUBCOMMITTEE

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1 1 BUREAU.. STATE OF MICHIGAN DEPARTMENT OF LICENSING AND REGULATORY AFFAIRS OF HEALTH CARE SERVICES BOARD OF MEDICINE DISCIPLINARY SUBCOMMITTEE In the Matter of FARID T. FATA, M.D. License Nos ~' Complaint No ORDER OF SUMMARY SUSPENSION An administrative complaint has been issued against Respondent under the Public Health Code, 1978 PA 368, as amended; MCL et seq, promulgated rules, and the Administrative Procedures Act of 1969, 1969 PA 306, as amended; MCL et seq. After consideration of the documentation filed in this case and consultation with the Chairperson of the Board of Medicine, the Department concludes that the public health, safety or welfare requires emergency action, as allowed by section 16233(5) of the Public Health Code and section 92(2) of the Administrative Procedures Act. THEREFORE, IT IS ORDERED that Respondent's license to practice medicine and controlled substance licenses in the State of Michigan shall be summarily suspended commencing on the date this order is served. Under 1996 AACS, R , Respondent has the right to petition for the dissolution of this order of summary suspension. This petition shall clearly state that it is a Petition for Dissolution of Summary Suspension and shall be filed with the Department of Licensing and Regulatory Affairs, Bureau of Health Care Services, P.O. Box 30670, Lansing, Michigan 48909, with a copy served upon the Department of Attorney General, Licensing & Regulation Division, P.O. Box 30754, Lansing, Michigan, Questions concerning the Order of Summary Suspension may be directed to (517) Upon receipt of such a petition, an administrative hearing will immediately be scheduled before an administrative law judge, who shall dissolve the order of summary suspension unless sufficient evidence is

2 ... produced to support a finding that the public health, safety, or welfare requires emergency action and a continuation of the suspension order. DEPARTMENT OF LICENSING AND REGULATORY AFFAIRS LF: A/Fata, Farid Tamoa, MD., p order of ss Carole H. Engle, Dir Bureau of Health re Services 2

3 \ ' In the Matter of STATE OF MICHIGAN DEPARTMENT OF LICENSING AND REGULATORY AFFAIRS BUREAU OF HEALTH CARE SERVICES BOARD OF MEDICINE DISCIPLINARY SUBCOMMITTEE FARID T. FATA, M.D. License Nos Complaint No ADMINISTRATIVE COMPLAINT Attorney General Bill Schuette, through Assistant Attorney General Stephen M. Rideout, on behalf of the Department of Licensing and Regulatory Affairs, Bureau of Health Care Services (Complainant), files this complaint against Farid T. Fata (Respondent) alleging upon information and belief as follows: 1. The Board of Medicine, (Board), an administrative agency established by the Public Health Code, 1978 PA 368, as amended, MCL et seq, is empowered to discipline licensees under the Code through its Disciplinary Subcommittee (DSC). 2. Respondent holds a current license to practice medicine in Michigan and a current controlled substance license pursuant to the Public Health Code.

4 3. Section 16233(5) of the Public Health Code provides for the summary suspension of a license, reading, in pertinent part, as follows: After consultation with the chair of the appropriate board or task force or his or her designee, the department may summarily suspend a license or registration if the public health, safety, or welfare requires emergency action in accordance with section 92 of the administrative procedures act of 1969, being section of the Michigan Compiled Laws. 4. Section 16221(a) of the Code provides the DSC with authority to take disciplinary action against Respondent for a violation of general duty, consisting of negligence or failure to exercise due care, including negligent delegation to, or supervision of employees or other individuals, whether or not injury results, or any conduct, practice, or condition which impairs, or may impair, the ability to safely and skillfully practice medicine. 5. Section 16221(b)(i) of the Code provides the DSC with authority to take disciplinary action against Respondent for incompetence, defined at section 16106(1) to mean: "[A] departure from, or failure to conform to, minimal standards of acceptable and prevailing practice for a health profession whether or not actual injury to an individual occurs." 6. Section 16221(b)(vi) of the Code provides the DSC with authority to take disciplinary action against Respondent for "lack of good moral character." 2

5 Section 16104(5) of the Code and section 1of1974 PA 381, as amended; MCL et seq, define "good moral character" as "the propensity on the part of the person to serve the public in the licensed area in a fair, honest, and open manner." 7. Section 16221(c)(iv) of the Code provides the DSC with authority to take disciplinary action against Respondent for selling, prescribing, giving away, or administering drugs for other than lawful diagnostic or therapeutic purposes. 8. Section 1622l(d)(iii) of the Code provides the DSC with authority to take disciplinary action against Respondent for fraud or deceit in obtaining or attempting to obtain third party reimbursement. 9. Section 16221(e)(i) of the Code provides the DSC with authority to take disciplinary action against Respondent for misrepresentation to a consumer or patient or in obtaining or attempting to obtain third party reimbursement in the course of professional practice. 10. Section 16221(e)(iii) of the Code provides the DSC with authority to take disciplinary action against Respondent for promotion for personal gain of an 3

6 unnecessary drug, device, treatment, procedure, or service. 11. Section of the Code authorizes the DSC to impose sanctions against persons licensed by the Board, if after opportunity for a hearing, the DSC determines that a licensee violated one or more of the subdivisions contained in section of the Code. 12. Section 7311(6) of the Code provides that a controlled substance license is automatically void if a licensee's license to practice is suspended or revoked under Article 15 of the Code. FACTUAL ALLEGATIONS 13. ' Respondent, at all times relevant to this Administrative Complaint, owned and operated Michigan Hematology Oncology, P.C. (MHO), and was enrolled as a participating provider with Medicare. 14. From at least the summer of 2012 and continuing through May 2013, Respondent directed that MHO employees enter diagnoses of anemia or fatigue in MHO patieii.t records in order to obtain Medicare reimbursement for Procrit injections for these MHO patients, despite no medical support for the diagnosis and

7 the resulting "treatment" by Procrit injections. 15. From at least the summer of 2012 and continuing through May 2013, Respondent delegated to medical assistants at MHO the authority to determine which patients ofmho would receive prescriptions for Oxycontin or Oxycodone or a refill of Oxycontin or Oxycodone. 16. From at least the summer of 2012 and continuing through May 2013, Respondent administered or directed to be administered by MHO staff, unnecessary chemotherapy to MHO patients in remission. 17. From at least the summer of 2012 and continuing through May 2013, Respondent deliberately misdiagnosed MHO patients as having cancer to justify unnecessary cancer treatments. 18. From at least the summer of 2012 and continuing through May 2013, Respondent administered or directed to be administered by MHO staff, chemotherapy to end-of-life patients who would not benefit from this treatment. 5

8 19. From at least the summer of 2012 and continuing through May 2013, Respondent deliberately misdiagnosed MHO patients without cancer to justify expensive billing. 20. From at least the summer of 2012 and continuing through May 2013, Respondent prescribed and distributed, or caused to be prescribed and distributed by MHO staff, controlled substances to patients without medical necessity. COUNT I 21. Respondent's conduct as described above constitutes negligence, in violation of 1622l(a) of the Code. COUNT II 22. Respondent's conduct as described above constitutes incompetence, in violation of 1622l(b)(i) of the Code. COUNT III 23., Respondent's conduct as described above constitutes lack of good moral character, in violation of 1622l(b)(vi) of the Code. 6

9 COUNT IV 24. Respondent's conduct as described above constitutes provides the selling, prescribing, giving away, or administering drugs for other than lawful diagnostic or therapeutic purposes, in violation of Section 16221(c)(iv) of the Code. COUNTV 25. Respondent's conduct as described above constitutes fraud or deceit in obtaining or attempting to obtain third party reimbursement, in violation of (d)(iii) of the Code. COUNT VI 26. Respondent's conduct as described above constitutes misrepresentation in obtaining or attempting to obtain third party reimbursement in the course of professional practice, in violation of 16221(e)(i) of the Code. COUNT VII 27. Respondent's conduct as described above constitutes the promotion for personal gain of an unnecessary drug, device, treatment, procedure, or service, in violation of Section 16221(e)(iii) of the Code. 7

10 THEREFORE, Complainant requests that this complaint be served upon Respondent and that Respondent be offered an opportunity to show compliance with all lawful requirements for retention of the aforesaid license. If compliance is not shown, Complainant further requests that formal proceedings be commenced pursuant to the Public Health Code, rules promulgated pursuant to it, and the Administrative Procedures Act of 1969, 1969 PA 306, as amended; MCL et seq. FURTHER, Complainant requests that pending the hearing and final determination Respondent's license to practice as a medical doctor in the State of Michigan continue to be summarily suspended pursuant to section 92 of the Administrative Procedures Act and section 16233(5) of the Public Health Code for the reason that, based upon the allegations set forth herein, to permit Respondent to continue to practice the profession constitutes a danger to the public health, safety and welfare requiring emergency action. RESPONDENT IS HEREBY NOTIFIED that, pursuant to section (7) of the Public Health Code, Respondent has 30 days from receipt of this complaint to submit a written response to the allegations contained in it. The written response ' shall be submitted to the Bureau of Health Professions, Department of Licensing and Regulatory Affairs, P.O. Box 30670, Lansing, Michigan 48909, with a copy to the undersigned assistant attorney general. Further, pursuant to section 16231(8), 8

11 failure to submit a written response within 30 days shall be treated as an admission of the allegation contained in the complaint and shall result in transmittal of the complaint directly to the Board's Disciplinary Subcommittee for imposition of an appropriate sanction. Respectfully Submitted, BILL SCHUETTE Attorney General Date: October 21, 2013 A~~ Stephen M. Rideout (P38753) Assistant Attorney General Licensing & Regulation Division P.O. Box Lansing, Michigan (517) LF AfFata, Farid Tamos, MD, / S045 p ac 9

12 STATE OF MICHIGAN DEPARTMENT OF LICENSING AND REGULATORY AFFAIRS BUREAU OF HEAL TH CARE SERVICES BOARD OF MEDICINE DISCIPLINARY SUBCOMMITTEE In the Matter of FARID TANIOS FATA, M.D. License Number: File Number: FINAL ORDER On October 21, 2013, the Department of Attorney General, Licensing & Regulation Division, on behalf of the Department of Licensing and Regulatory Affairs, Bureau of Health Care Services, hereafter Department, filed an Administrative Complaint, hereafter Complaint, with the Disciplinary Subcommittee of the Michigan Board of Medicine, hereafter Disciplinary Subcommittee, charging Farid Tanios Fata, M.D., hereafter Respondent, with having violated sections 16221(a), 16221(b)(i), 16221(b)(vi), (c)(iv), (d)(iii), (e)(i) and (e)(iii) of the Public Health Code, 1978 PA 368, as amended; MCL et seq. Based upon the Complaint and after consultation with the Chairperson of the Michigan Board of Medicine, hereafter Board, the Department summarily suspended Respondent's license to practice medicine in the state of Michigan by Order of Summarv Suspension commencing on the date the order was served, October 22, The Complaint notified Respondent that, pursuant to sections (7) and 16231(8) of the Public Health Code, supra, Respondent's failure to respond to the Complaint within 30 days from the date of receipt would be treated as an admission of the 1

13 allegations contained in the Complaint and would result in transmittal of the Complaint directly to the Disciplinary Subcommittee for imposition of an appropriate sanction. Contrary to section (7) of the Public Health Code, supra, Respondent failed to provide a written response to the allegations set forth in the Complaint within 30 days from the date of receipt. The Disciplinary Subcommittee, having read the Order of Summarv Suspension and Complaint, considered the within matter at a meeting held in Lansing, Michigan, on January 15, 2014, and imposed a sanction pursuant to section 16231(8) of the Public Health Code, supra. Now, therefore, IT IS HEREBY ORDERED tha~ the Order of Summarv Suspension served on October 22, 2013, is DISSOLVED, as of the effective date of this Order. IT IS FURTHER ORDERED that for the violations of sections 16221(a), 16221(b)(i), 16221(b)(vi), 16221(c)(iv), 16221{d)(iii), 16221(e)(i), and 16221(e)(iii) of the Public Health Code, supra, Respondent's license to practice medicine in the state of Michigan is REVOKED, commencing on the effective date of this Order. Section 7311(6) of the Public Health Code, supra, provides that a controlled substance license is automatically void if a licensee's license to practice is suspended or revoked under Article 15 of the Public Health Code. Pursuant to section 7311 (6) of the Public Health Code, supra, Respondent's controlled substance license is automatically 2

14 void, commencing on the effective date that Respondent's license to practice medicine in the state of Michigan is revoked. IT IS FURTHER ORDERED that in the event Respondent's license to practice medicine expires during the period of revocation, Respondent must apply for relicensure, in accordance with section of the Public Health Code, supra. IT IS FURTHER ORDERED that in the event Respondent's license to practice medicine does not expire and remains revoked, Respondent must apply for reinstatement of the license and application shall be in accordance with sections and of the Public Health Code, supra. Further, in support of the application for reinstatement, Respondent shall supply clear and convincing evidence to the Michigan Board of Medicine that Respondent is of good moral character, is able to practice the profession with reasonable skill and safety, that it is in the public interest for Respondentto resume practice, and that Respondent has met the guidelines on reinstatement adopted by the Department. IT IS FURTHER ORDERED that in the event Respondent violates any provision of this Order, the Disciplinary Subcommittee may proceed to take disciplinary action pursuant to 1996 AACS, R and section (h) of the Public Health Code, supra. CONTINUED ON NEXT PAGE 3

15 IT IS FURTHER ORDERED that this Order shall be effective on the date signed by the Disciplinary Subcommittee's Chairperson or authorized representative, as set forth below. Dated: -~/-~tl.~1-~/~{ MICHIGAN BOARD OF MEDICINE DISCIPLINARY SUB OMMITTEE Carole H. Engle, Director Bureau of Health Care S This is the final page of a Final Order in the matter of Farid Tanios Fala, M.D., File Number , before the Disciplinary Subcommittee of the Michigan Board of Medicine, consisting of four pages, this page included. kp 4

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