Tuesday, October 25, 2016 12:45 AM

NURSING HOME CHAIN LIFE CARE TO PAY LARGEST SETTLEMENT OF ITS KIND IN DOJ HISTORY

Forrest Preston Forrest Preston Photo by Contributed Photo /Times Free Press. Life Care Centers of America, the Cleveland-based skilled nursing home chain, and its sole owner, Forrest L. Preston, have agreed to pay the U.S. Department of Justice $145 million to settle claims they overcharged Medicare and TRICARE for services provided to elderly patients. Document: Life Care DOJ Settlement The U.S. Department of Justice announced on Oct. 24 that Life Care Centers of America had agreed to pay $145 million to resolve false claims act allegations. The government alleged Life Care staffers were ordered to provide therapy to nursing home residents even if it was not needed, and kept patients in the facility unnecessarily in order to bill extra days to Medicare or TRICARE. Document: Life Care lawsuit Federal prosecutors allege that billionaire Forrest Preston, founder and owner of Life Care Centers of America, knowingly overbilled Medicare over a number of years and directly benefitted from the false reimbursement claims his company filed. Medicare is the U.S. government program to provide medical insurance for those 65 and older, while TRICARE provides civilian health benefits for U.S military personnel, including retirees and their dependents. "Billing federal health care programs for medically ...

News source: Times Free Press

See also: Davis & Hoss