Home Health & Hospice Week

Industry Note:

Hospice Settles For $1.2M

A for-profit hospice chain and its CEO have agreed to pay $1.2 million to settle Medicare fraud charges first raised in two whistleblower lawsuits. The settled claims contended that Monroeville, Pennsylvania-based Horizons Hospice, which later changed its name to 365 Hospice, and CEO John C. Rezk submitted claims for patients who were ineligible for hospice because they did not have a six-month prognosis, the Department of Justice says in a release.

Former Horizons COO Mary Ann Stewart received a 15-month prison sentence in 2016 following her guilty plea (see Eli's HCW, Vol. XXV, No. 37). And former Horizons Medical Director Oliver Herndon received a nearly three-year prison sentence in 2015 after pleading guilty to falsely certifying patients for hospice (see Eli's HCW, Vol. XXIV, No. 27). However, Herndon is serving the sentence at the same time as an earlier 11-year term for illegally prescribing narcotics.

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