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Home Health & Hospice Week

Industry Note:

National Chain Pays $12.5M To Settle Fraud Charges

Published on Tue May 10, 2011

Cost-based reimbursement may be long in the past, but a multi-million-dollar settlement may make it seem like yesterday for the nation's largest home care chain. Atlanta-based Gentiva Health Services Inc. has agreed to pay $12.5 million to settle allegations that it incorrectly billed Medicare for salaries and other costs related to employees performing non-reimbursable sales activities. The settlement covers claims from 1998 to 2000, U.S. Attorney for the Eastern District of New York Loretta Lynch says in a release. Providers may see more fraud settlements as the authorities' fraud-fighting continues. "This settlement reflects the ongoing commitment of this Office to root out fraud on the Medicare Program," Lynch says in the release. "Investigating health care fraud is a priority of this office," HHS Special Agent-in-Charge Tom O'Donnell says in the release. Gentiva denies the government's allegations. A company spokesperson told Reuters that Gentiva looks forward to putting the matter behind [...]
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