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The Stark Act, 42 U.S.C. Â§ 1395nn, is a piece of legislation that was enacted to combat kickbacks to physicians for the referral of lab tests. Elsenety v. Health Care Fin. Admin., 85 Fed. Appx. 405, 409 (6th Cir. 2003).
The Stark law imposes civil money penalties of up. to $100,000 for any arrangement or scheme that the. physician or DHS entity knows or should know has a. principal purpose of ensuring referrals by the physician to. the particular DHS entity, which, if the physician directly.