Greenville-based Quasar Family Medicine North Carolina has filed a complaint that its lead physician concealed his drug overprescription and fraudulent billing to push the sale of his practice to another physician and then turn patients against the new owner.
According to the June 28 complaint filed in the North Carolina Business Court, Charles Jahrsdorfer, MD, broke purchasing and employment agreements to "destroy" Carolina East Family Medicine after he sold the clinic.
Allegations include turning staff against the new ownership and stealing patient lists to later start a competing healthcare provider.
The attorney for Dr. Jahrsdorfer told Law360 that he denies all allegations.
"Dr. Jahrsdorfer was terminated by Quasar Family Medicine while he was out for health-related reasons, and has since been sued by Quasar," Emily Massey, attorney for Dr. Jahrsdorfer and other defendants, told Becker's in a statement. "Because of that lawsuit, we cannot comment further except to state that Dr. Jahrsdorfer vehemently denies all of the allegations and will vigorously defend his rights against Quasar."
Quasar's owner, Sean Feinberg, MD, said in the complaint that after he purchased the clinic, he found that many patients came to the clinic because Dr. Jahrsdorfer was overprescribing Adderall. Additionally, the clinic was charging for in-house visits even if the patients didn't see the physician.
According to the complaint, Dr. Jahrsdorfer also took patient lists to form a competing practice with his wife. In June, Dr. Jahrsdorfer also allegedly attacked an assistant by calling her a "Judas and a snake" because the assistant exposed that he took the list.
The complaint also alleges Dr. Jahrsdorfer told patients he was fired, urging them to rally. Patients allegedly showed up to the clinic with no doctor to serve them, leading Quasar Family Medicine to close the clinic. According to the complaint, patients then vandalized the building by writing on it.
Quasar Family Medicin's suit alleges fraud, breach of contract, misappropriation of trade secrets and tortious interference with prospective economic advantage, among other claims.
"Our primary concern is the well-being of our patients," a spokesperson from Quasar Family Medicine North Carolina said in a statement shared with Becker's. "Despite the challenging circumstances we were all dealt, we are committed for the long run to maintaining the highest standard of care and support for the community of Pitt County."
The practice said they are adding imaging diagnostics, acupuncture, massage, and IV therapy, to "enhance the patient’s care with a holistic approach."
"To have the only provider unexpectedly leave clearly put us in a challenging situation," Quasar's spokesperson added. "However it brought to our attention several serious concerns in the way prior operations were conducted at Carolina East Family Medicine. Not only did the provider’s absence affect our operations, the chaos that ensued was attributed to us. Most importantly and of great concern, a significant number of patients on controlled substances were left without care. Consequently, we were maligned and mobbed."