Medicare Whistleblowers to Receive $2 Million in False Claims Act Case Against Skilled Nursing Facility Operators. Exposing Misconduct.

Medicare Whistleblowers to Receive $2 Million in False Claims Act Case Against Skilled Nursing Facility Operators

July 20, 2018

On July 18, 2018, the Department of Justice announced that it had reached a ten-million-dollar settlement agreement with Southern SNF Management, Inc., Rehab Services in Motion d/b/a Dynamic Rehab, and nine affiliated skilled nursing facilities to resolve allegations of Medicare fraud. According to Acting Assistant Attorney General Chad A. Readler, the case demonstrates the Department of Justice’s “continuing commitment to ensure that Medicare providers do not place their own financial gain over patients’ clinical needs.” While all False Claims Act cases involve unacceptable waste of taxpayer money for personal profit, Mr. Readler highlighted why allegations of Medicare fraud are particularly worrying: “Such conduct is especially unacceptable when it seeks to take advantage of older Americans, who are some of the most vulnerable members of our community.” The DOJ noted that the $10 million payment does not constitute an admission of wrongdoing by any of the defendants.

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