Integral Diagnostics orders audit over WA billing allegations

Integral Diagnostics (ASX:IDX) will initiate an independent audit following recent media reports alleging inappropriate billing practices in Western Australia.

The allegations target IDX's subsidiary, Apex Radiology, regarding its operations at Kalgoorlie Hospital.

The healthcare provider stated it is currently unaware of any billing misconduct at the facility but is taking the matter seriously.

To ensure full compliance and transparency, the company’s National Billing and Revenue Assurance Committee will oversee the external investigation, promising to update the market once findings are finalised.

The controversy highlights the complex nature of the regional healthcare agreement between Apex Radiology and the WA Country Health Service.

Under the current contract, Apex Radiology provides vital radiologist reporting services across multiple regional sites.

However, IDX clarified that diagnostic imaging at Kalgoorlie Hospital is primarily performed by WACHS staff, with Apex supplying only a single MRI technician.

The company emphasised that Apex Radiology receives a direct service fee from WACHS rather than benefitting from Medicare claims at the hospital.

Despite the structural separation, IDX reiterated its commitment to rigorous Medicare compliance standards.

Company Secretary John Merity has been appointed as the primary contact for further enquiries as the disclosure committee manages the fallout.