The Department of Justice has announced a settlement with three home health agencies to the tune of $4.5 million to resolve allegations of providing illegal kickbacks to assisted living facilities and physicians in exchange for Medicare patient referrals. The settlement, which was reached on Monday, saw Guardian Health Care Inc., Gem City Home Care LLC, and Care Connection of Cincinnati LLC agree to pay nearly $3.7 million to the federal government and over $800,000 to the state of Ohio.
The trio of health agencies had offered incentives such as lease payments, wellness services, sports tickets, and meals to providers in order to secure referrals of Medicare beneficiaries from 2013 through 2022. These actions were seen as a violation of the False Claims Act and have resulted in a hefty settlement amount.
This settlement serves as a warning to other healthcare providers about the consequences of engaging in illegal kickback schemes. It is important for all healthcare providers to adhere to strict ethical standards and comply with healthcare laws to ensure the safety and well-being of Medicare beneficiaries. The Department of Justice’s investigation into these illegal kickback schemes demonstrates their commitment to combating healthcare fraud and protecting the integrity of the Medicare program.
