Whistleblower lawsuits filed under the False Claims Act (FCA) were up last fiscal year, with the increase hitting the behavioral health industry especially hard. Those are just a couple takeaways from Bass, Berry & Sims’ recent 2020 Healthcare Fraud & Abuse Review. The law firm publishes the report annually to document health care fraud and […]
Category: Fraud
A Connecticut private behavioral health practice and its owner have agreed to pay more than $100,000 to settle state and federal fraud allegations, the U.S. Department of Justice (DOJ) announced Monday. Behavioral Management LLC of North Haven and its owner, Neil Quatrano, have entered into a civil settlement agreement following allegations that the company submitted […]
As the behavioral health industry draws more government funding, it’s also getting newfound scrutiny from state and federal regulators. Enforcement actions against behavioral providers are on the rise, especially for those organizations that participate in Medicare and Medicaid. Consequently, compliance planning is more important than ever — and so is identifying warning signs that suggest […]
The former founder and CEO of a New York-based addiction treatment facility has agreed to reimburse the state Medicaid program $3 million, according to Attorney General Letitia James. The agreement comes after Stephen Yohay admitted to taking part in a false Medicaid billing scheme, according to a press release announcing the news. The fraud occurred […]
Massachusetts Attorney General Maura Healey is suing CleanSlate Centers for allegedly defrauding the state Medicaid program out of millions of dollars. Meanwhile, the national addiction treatment center chain says the allegations are meritless. The lawsuit asserts that CleanSlate submitted millions of dollars worth of false claims for unnecessary urine drug tests to MassHealth. On top of […]
The former CEO of a Pennsylvania addiction treatment center has been sentenced to three years in federal prison for his role in a fraud scheme. Jason Gerner — who founded Yardley, Pennsylvania-based Liberation Way in 2015 after recovering from opioid addiction himself — was sentenced Monday. The punishment comes after he pleaded guilty to charges […]
Most behavioral health providers agree it’s a good thing: The federal government continues to funnel more money into behavioral health initiatives, such as fighting the opioid epidemic and funding certified community behavioral health clinics (CCBHC). But as providers find themselves with more federal dollars, they’re also more likely to face increased scrutiny over their practices, […]
The co-founder of a Pennsylvania addiction rehab center has pleaded guilty to conspiracy to commit health care fraud for his role in an “elaborate” insurance scheme, according to the U.S. Department of Justice (DOJ). The scheme fraudulently billed insurers for more than $100 million, local newspaper The Intelligencer reported. Defendant Branden Coluccio entered the plea […]
The one-time owner of more than a dozen Los Angeles-area substance abuse treatment centers has been indicted on charges he operated a massive $175 million billing scheme. Robert Bathum, who has called himself the “Rehab Mogul,” pleaded no contest Monday in Los Angeles County Superior Court to 14 felony counts of grand theft, insurance fraud, […]
It’s impossible to know just how much the U.S. loses every year to health care fraud, with estimates ranging from 3% to 10% of the annual health care expenditure. Similarly, it’s unclear just how much of that fraud exists within the behavioral health care sector. However, one thing leaders in the space and legislators at […]
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