NY Hospital Pays $11.75M To End Medicare Turbocharge Suit

Law360, New York (May 4, 2012, 5:59 PM EDT) -- Lenox Hill Hospital on Friday agreed to pay $11.75 million to settle False Claims Act allegations that the New York City hospital overbilled Medicare by millions of dollars by fraudulently increasing charges for inpatient care, a practice known as turbocharging.

The hospital entered into a consent decree after the U.S. Department of Justice filed a complaint in New York federal court on Tuesday. The government claimed Lenox Hill manufactured excessive outlier payments, which Medicare uses to reimburse hospitals for extraordinarily costly inpatient cases as compared to...
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