Penn State, Medicare and Medicaid Fraud, Pennsylvania 2020

HARRISBURG, PA — In a shocking revelation, Penn State has agreed to pay $899,824.55 to settle allegations of civil liability for the submission of claims by the Penn State Psychological Clinic in State College, PA, to Medicare, TRICARE and Medicaid between February 1, 2015 and July 31, 2020 for behavioral health and Evaluation & Management services that violated Medicare rules and regulations.

According to U.S. Attorney John C. Gurganus, Penn State, through the Clinic, is alleged to have submitted improper claims related to behavioral health services with respect to the supervision of doctoral students, “incident-to” billing requirements, and/or the credentialing of licensed practitioners for Medicare participation. Additionally, the Clinic is alleged to have submitted claims for Evaluation & Management services that were not supported by the medical record.

The settlement amount includes $599,883.03 in restitution. This matter was handled by the Department of Health and Human Services (HHS), Office of Counsel to the Inspector General (OCIG), the Defense Health Agency (DHA), acting on behalf of the TRICARE program, and Assistant U.S. Attorney Tamara Haken of the Affirmative Civil Enforcement Unit of the U.S. Attorney’s Office for the Middle District of Pennsylvania.

The allegations against Penn State stem from the submission of claims for services that did not meet Medicare and Medicaid requirements. The Clinic is alleged to have submitted claims for behavioral health services that were not properly supervised by licensed practitioners, as well as claims for Evaluation & Management services that were not supported by medical records.

Penn State has taken prompt corrective action and disclosed the matter to the United States Attorney’s Office. This settlement marks a significant step towards resolving the allegations and ensuring that Penn State is held accountable for any wrongdoing.

The U.S. Attorney’s Office for the Middle District of Pennsylvania has announced that Penn State has agreed to pay $899,824.55 to resolve allegations of Medicare and Medicaid fraud. The settlement amount includes $599,883.03 in restitution.

Penn State Psychological Clinic, a part of The Pennsylvania State University, has agreed to pay $899,824.55 to settle allegations of Medicare and Medicaid fraud. The allegations stem from the submission of claims for services that did not meet Medicare and Medicaid requirements.

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