Kindred Healthcare to pay $125 mln to end Medicare fraud probe
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Kindred Healthcare Inc agreed to pay $125 million to settle government allegations that the largest U.S. nursing home therapy provider knowingly caused skilled nursing facilities to submit false or fraudulent Medicare reimbursement claims.
The U.S. Department of Justice on Tuesday said the accord resolves claims under the federal False Claims Act against Kindred and contract therapy providers RehabCare Group Inc and RehabCare Group East Inc, which Kindred bought in June 2011.
RehabCare was accused of having since January 2009 engaged in schemes that permitted the submission of Medicare reimbursement claims for rehabilitation therapy services that were unreasonable, unnecessary, unskilled or nonexistent.
The government said these schemes included reporting extra therapy to boost reimbursements, scheduling therapy that patients' treating therapists thought superfluous, and providing skilled therapy to patients who were asleep.
The U.S. Department of Justice on Tuesday said the accord resolves claims under the federal False Claims Act against Kindred and contract therapy providers RehabCare Group Inc and RehabCare Group East Inc, which Kindred bought in June 2011.
RehabCare was accused of having since January 2009 engaged in schemes that permitted the submission of Medicare reimbursement claims for rehabilitation therapy services that were unreasonable, unnecessary, unskilled or nonexistent.
The government said these schemes included reporting extra therapy to boost reimbursements, scheduling therapy that patients' treating therapists thought superfluous, and providing skilled therapy to patients who were asleep.
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