A Chatsworth man was ordered to pay $1.2 million to settle allegations his Santa Clarita pain clinic fraudulently billed state and federal health insurance programs.

Dr. Narinder S. Grewal, who operates the Santa Clarita Surgery Center for Advanced Pain Management on the 23800 block of McBean Parkway in Valencia, agreed to pay $1,087,176.09 to the United States and $112,823.91 to California.

The settlement concludes a federal “whistleblower” lawsuit filed by Chandana Basu, who used to provide billing and collection services to the Grewal’s clinic, according to the U.S. Attorney’s Office.

Basu’s lawsuit alleged that Grewal and his clinic obtained improper reimbursements from government-run health insurance programs, including Medicare, Medi-Cal and Tricare, a federal health insurance program for military and related military personnel, according to a statement Wednesday from federal prosecutors .

The lawsuit also alleged that Grewal and his clinic submitted fraudulent claims by “upcoding” medical services, which means that he allegedly submitted bills that were not justified by the services that were actually provided.

The settlement was announced Wednesday after United States District Judge Andrew J. Guilford unsealed the lawsuit.

The parties have asked the court to dismiss the suit, which was filed pursuant to federal and state False Claims Acts.

The whistleblower provisions of the False Claims Acts permit a private person to sue on behalf of the United States and California, and to share in the proceeds of the suit.

As a result of the settlement announced today, Basu will receive a total of $204,000.

The case was handled by the United States Attorney’s Office and the California Attorney General’s Office, in conjunction with the Department of Health and Human Services, Office of Inspector General, and the Department of Defense, Defense Criminal Investigative Service.