Why one company will end up doling out hundreds of millions to the feds A five-year corporate integrity agreement requires the company to undergo an independent review of its inpatient and outpatient rehabilitation therapy claims.
Attention, hospitals: The Department of Justice is keeping close watch of billing compliance for physical therapy services and inpatient rehab admissions.
Case in point: The nation's largest provider of rehabilitative medicine will pay $325 million to resolve allegations that it defrauded Medicare, the DOJ announced Dec. 30. Four whistleblowers who filed lawsuits against HealthSouth Corporation will share a reward of more than $12 million.
According to investigations, the agreement settles allegations that HealthSouth submitted the following to Medicare and TRICARE:
"HealthSouth's new management team is dedicated to developing a corporate culture characterized by integrity, quality and compliance," says Jay Grinney, HealthSouth president and chief executive officer.
Lesson Learned: Facilities need to ensure that outpatient rehab programs are in compliance with Medicare requirements.