Health care companies agree to pay $2.7 million - WRCBtv.com | Chattanooga News, Weather & Sports

Health care companies agree to pay $2.7 million

CHATTANOOGA, Tenn. (AP) - A Chattanooga-based company that runs nursing homes in several states and 1 of its affiliated firms has agreed to pay $2.7 million plus interest to settle allegations that they overbilled Medicare and other government-run health care programs.

The U.S. Justice Department announced on Friday that Grace Healthcare LLC and Grace Ancillary Services stood accused of providing medically unnecessary physical, occupational and speech therapy so they could bill the government for the maximum amount.

The allegations stem from a lawsuit filed by a former employee who sued under the Whistleblower provisions of the False Claims Act. The lawsuit claimed the nursing home company pressured therapists to increase the amount of therapy for each patient for billing purposes and not for the patient's need.

The deal gives the whistleblower $405,000 of the settlement.

Copyright 2013 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

  • NewsMore>>

  • Channel 3 AM Forecast

    Channel 3 AM Forecast

    Sunny and warm.  Heavy pollen.More
    Clouds building late.  Light showers Tuesday.
    More
  • Warm today. Heavy pollen. Light showers Tuesday.

    Warm today. Heavy pollen. Light showers Tuesday.

    Monday, April 21 2014 5:31 AM EDT2014-04-21 09:31:26 GMT
    (WRCB) - Good Monday. As you head out this morning, temps will be in the upper 40s and low 50s. The only problem you might face this morning will be the extremely heavy levels of tree pollen in the air. The warm air will feel good, though. The high today should reach 78 degrees.Late today into tonight clouds will build, and we will see some light rain showers Tuesday morning.More
    (WRCB) - Good Monday. As you head out this morning, temps will be in the upper 40s and low 50s. The only problem you might face this morning will be the extremely heavy levels of tree pollen in the air. The warm air will feel good, though. The high today should reach 78 degrees.Late today into tonight clouds will build, and we will see some light rain showers Tuesday morning.More
  • UAW to appeal VW labor vote Monday

    UAW to appeal VW labor vote Monday

    Sunday, April 20 2014 6:23 PM EDT2014-04-20 22:23:34 GMT
    The UAW will present their case Monday morning at the Hamilton County Courthouse in front of a judge for the National Labor Relations Board.More
    The UAW will present their case Monday morning at the Hamilton County Courthouse in front of a judge for the National Labor Relations Board.
    More
Powered by WorldNow
Can't find what you're looking for?

WRCB-TV
900 Whitehall Road
Chattanooga, TN 37405
(423) 267-5412

WRCB Jobs EEO | FCC Public Files

Powered by WorldNow
All content © Copyright 2000 - 2014 WorldNow and WRCB. All Rights Reserved. For more information on this site, please read our Privacy Policy and Terms of Service.