U.S. Joins Medicare Fraud Whistleblower Case

Law360, New York (April 26, 2007, 12:00 AM EDT) -- The U.S. Department of Justice intervened in a whistleblower case on Thursday against bankrupt HealthEssentials Solutions Inc. over alleged false claim billings to Medicare, seeking a removal of the bankruptcy court's automatic stay of lawsuits for companies in Chapter 11.

The former Kentucky-based provider of geriatric care is accused of overcharging Medicare millions of dollars by misrepresenting its patients’ actual conditions to receive higher reimbursements, and by receiving Medicare pay for medically unnecessary services.

"The government's intervention in this case demonstrates the Department's continued commitment to...
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