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Dubuis Health System, Medicare Fraud, Texas 2009

Dubuis Health System, a healthcare provider based in Riverdale, Georgia, has agreed to pay the United States $8,000,000 to settle allegations that they submitted false claims to Medicare, the Justice Department announced today.

The allegations, which date back to 2003 and 2009, claim that Dubuis Health System and Southern Crescent Hospital for Specialty Care, Inc. knowingly kept patients hospitalized beyond the time considered to be medically necessary, to increase their Medicare reimbursement and to maintain Southern Crescent’s classification as a long-term acute care facility.

Long-term acute care hospitals are similar to typical acute care hospitals except that they are certified to focus on patients with more complex medical needs who, on average, remain in the hospital more than 25 days. Long-term acute care hospitals receive a higher rate of Medicare reimbursement than do typical acute care hospitals.

The settlement resolves allegations that between 2003 and 2009, Dubuis Health System and Southern Crescent knowingly kept patients hospitalized beyond the time considered to be medically necessary, to increase their Medicare reimbursement and to maintain Southern Crescent’s classification as a long-term acute care facility.

“Billing Medicare for patient care that is not necessary or appropriate contributes to the soaring costs of health care. This settlement demonstrates the commitment to protect public funds and guard against abuse of the Medicare system,” said Stuart F. Delery, the Acting Assistant Attorney General of the Civil Division.

The whistleblower in this matter, Darlene Tucker, was a former administrator at Southern Crescent. As a result of this settlement, Ms. Tucker will receive $2,160,000 of the United States’ recovery.

This resolution is part of the government’s emphasis on combating health care fraud and another step for the Health Care Fraud Prevention and Enforcement Action Team (HEAT) initiative, which was announced by Attorney General Eric Holder and Kathleen Sebelius, Secretary of the Department of Health and Human Services in May 2009. The partnership between the two departments has focused efforts to reduce and prevent Medicare and Medicaid financial fraud through enhanced cooperation.

The case was jointly handled by the U.S. Attorney’s Office for the Southern District of Texas, the Civil Division, and the Office of the Inspector General of the Department of Health and Human Services. The claims resolved by this settlement are allegations only, and there has been no determination of liability.

The case is captioned United States ex rel. Tucker v. Christus Health and Dubuis Health System, Inc., et al, No. 09-cv-1819 (S.D. Tex).

Dubuis Health System: Defendant, Medicare fraud, Georgia, 2009. The defendant will pay $8,000,000 to settle allegations that they submitted false claims to Medicare.

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