Cerebral Hit with $6.6M Penalty In Settlement with Prosecutors

Digital mental health startup Cerebral has reached a nonprosecution agreement with the U.S. Attorney’s Office for the Eastern District of New York. The agreement resolves the investigation of Cerebral’s policies and practices for controlled substance prescribing, specifically stimulants for ADHD. The company now faces fines totaling $6.57 million, according to a copy of the nonprosecution […]

Acadia Healthcare Says Public Scrutiny Leading to Lower Volumes, Weaker Financial Projections

Bad news at Acadia Healthcare (Nasdaq: ACHC) has translated into a real financial impact. The behavioral health behemoth experienced lower patient volume growth than expected in October, which company leadership attributed to bad press in its Q3 earnings call. Acadia expects the negative impact to be temporary, according to Heather Dixon, Acadia’s chief financial officer. […]

Court Ruling Could Massively Curb Health Care Litigation: What Behavioral Health Operators Should Know

A Florida federal court ruling issued last month could lead to a “massive sea change” in what lawsuits can be brought against behavioral health companies. That is the interpretation of Gregory Jones, a principal at the law firm Polsinelli’s Los Angeles office, who represents health care companies, including in False Claims Act (FCA) cases. FCA […]

Pinnacle Treatment Centers Launches Telehealth Methadone Prescriptions Amid Landmark Rule Change

One of California’s largest opioid treatment providers (OTP) is taking advantage of a landmark change in federal rules. Pinnacle Treatment Centers announced Monday that they will begin prescribing opioid use disorder (OUD) patients methadone via audio-visual telehealth sessions in the state of California. “Expanding access to methadone by allowing patients to initiate treatment via telehealth […]

DEA to Extend Telehealth Flexibilities for Controlled Substances a Third Time

The Drug Enforcement Administration (DEA) will extend its telehealth flexibilities past the end of the year. Health care providers that have linked telehealth and controlled substance prescribing have been staring down a regulatory cliff following inaction by Congress on the issue. Twice already, the DEA has extended COVID-era regulation that provided wide flexibility when it […]

Acadia to Pay $19.85M to Settle Whistleblower Allegations Relating to Medically Unnecessary Inpatient Behavioral Health Services

Behavioral health care giant Acadia Healthcare (Nasdaq: ACHC) will pay $19.85 million to the U.S. and several states’ governments to resolve allegations that it knowingly billed for medically unnecessary behavioral health services and endangered patients. The U.S. Department of Justice (DOJ) alleged that Acadia falsely billed Medicare, Medicaid and TRICARE for inpatient behavioral health services […]

Mental Health Medication Trends: Antidepressants Up 21%, Opioids Down 17%

New research shows that the number of prescriptions written for stimulants and antidepressants is on the rise. Prescriptions for stimulants increased by 37.5% from 2019 to 2022, according to a new study published in JAMA Network Open. The number of antidepressant prescriptions also increased, jumping up by 21%.  An increased share of stimulant and antidepressant […]

73% of Sampled OTPs in Massachusetts Fall Short of Federal, State Requirements

Opioid treatment programs (OTPs) are the door to evidence-based medication for patients with opioid use disorder (OUD).  Current regulations may not be strong enough to keep these facilities in compliance with requirements that prevent overpayment for services and ensure that patients receive the most appropriate treatment. An audit conducted by the Department of Health and […]

Biden Administration Releases ‘Historic’ Final Rule on Behavioral Health-Physical Health Parity

The Biden administration has released its final rule updating mental health parity compliance for group and individual health plans. Released Monday, the final rule updates how federal agencies oversee whether health plans treat behavioral health benefits differently than physical health benefits. In short, it requires and spells out how health plans are to analyze nonquantitative […]

Appeals Court Orders Judge Over Wit v. United Behavioral Health to Comply with Previous Rulings

The district court judge over Wit v. United Behavioral Health has been ordered by the appeals court to come into compliance with its previous orders. The order, in addition to calling on the judge over the case to comply with previous rulings, puts to bed questions about reprocessing allegedly wrongfully denied claims. Once seen as […]