October 25, 2011 / 1:35 PM / 8 years ago

DaVita says U.S. govt probes payment for infusion drugs

(Reuters) - DaVita Inc, the biggest U.S. operator of dialysis clinics, said it is the subject of a government probe into payments for infusion drugs covered by the Medicaid health program for the poor in New York.

DaVita said it believed the inquiry was civil in nature and did not have details about the time period covered.

The company said it has been notified that it will receive a request for documents, which may include a subpoena, from the Office of Inspector General for the U.S. Department of Health and Human Services.

The inquiry is being carried out by the U.S. Attorney’s office for the Eastern District of New York.

DaVita said that certain other providers that operate dialysis clinics in New York and provide services to New York Medicaid patients may also receive, or have received, a similar request for documents.

The company said it intends to cooperate with the government and that no proceedings have been initiated against it at this time.

DaVita shares were down 5 cents at $68.75 in pre-market trade. They closed at $68.80 on Monday on the New York Stock Exchange.

Reporting by Esha Dey in Bangalore; Editing by Michele Gershberg and Roshni Menon

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