$62M false claims settlement for Seoul Medical Group; FDA approves first new oral antibiotic for uUTIs in 30 years; alpaca therapy – Morning Medical Update

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$62M false claims settlement for Seoul Medical Group

Seoul Medical Group (SMG) and its former president will shell out more than $60 million to settle claims they violated the False Claims Act by causing the submission of false diagnosis codes for two spinal conditions to increase payments from the Medicare Advantage program. Officials say the California-based provider, along with a radiology group, fabricated or exaggerated the spinal cases to trigger higher reimbursements. The Justice Department said the result should send a clear message to those who knowingly submit false claims for taxpayer funds. The whistleblower? The former VP and CFO of Advanced Medical Management (AMM), whose share has not yet been determined.

Editor's note: In response to the above report, a company spokesperson representing SMG and AMM issued the following statement:

"We are pleased to have resolved this matter and demonstrated that SMG reversed the conduct described in the settlement. The settlement will not have any financial, operational, or other costs or impact to SMG or AMM. We are committed to continually enhancing our practices and maintaining the highest standards of compliance. We remain focused on our mission of serving our communities and improving access, affordability and quality of healthcare for our patients."

FDA approves gepotidacin (Blujepa) to treat uncomplicated UTIs

For the first time in nearly 30 years, there’s a new oral antibiotic for uncomplicated urinary tract infections (UTIs). The Food and Drug Administration (FDA) just approved gepotidacin (Blujepa), a first-in-class drug from GSK, to treat uUTIs in females 12 years and older — and it couldn’t come at a better time, with resistance on the rise and many patients stuck in a cycle of reoccurrence. Clinical trials showed it works as well as or better than nitrofurantoin, with mostly mild side effects. GSK expects to launch it later this year. Read more — and get clinical insights — from our sister site, Patient Care Online.

Alpaca therapy for elderly and children with special needs

Joe Phelan, an Irish farmer known as “Alpacca Joe,” is swapping plows for paws — or rather, soft hooves. After leaving his office job and traditional farming behind, Phelan now runs a heard of 71 alpacas that double as four-legged therapists. From neurodivergent children to seniors in nursing homes, his alpacas are bringing calm and comfort through eye contact, gentle hums and soft, pettable wool. What began as “alpaca & prosecco” farm visits have grown into a full-fledged therapy and tourism business south of Dublin.

“We noticed that we were having a really positive impact on people with special needs, be it autism, be it adults or adolescents with Down syndrome… we just found that it lifted everybody’s spirits,” Phelan said. The Telegraph Online has more.