Hospital Bigwigs Off Hook In Medicare Fraud Suit

Law360, Los Angeles (September 8, 2011, 7:36 PM EDT) -- A California federal judge on Thursday stripped several defendants from a suit in which an ex-employee is accusing a psychiatric hospital of defrauding the government by falsely billing Medicaid and Medicare while dangerously neglecting patients and safety conditions.

The lawsuit accuses Aurora Las Encinas LLC of noncompliance with Medicare conditions and negligent care practices that jeopardized the health and safety of some of its patients, sometimes resulting in deaths. U.S. District Judge John A. Kronstadt said the lawsuit didn't link specific False Claims Act violations to...
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