USAO and NY AG Intervene in Suit Against Hospitals and Operator for Improper Medicaid Claims

The U.S. Attorney’s Office for the Southern District of New York and New York Attorney General’s Office filed intervening complaints in a whistleblower lawsuit against Continuum Health Partners, Inc., Beth Israel Medical Center, and St. Luke’s-Roosevelt Hospital Center for failing to repay money they received after improperly billing the state’s Medicaid Program. According to the complaints, between 2009 and 2010, Beth Israel and St. Luke’s-Roosevelt submitted improper claims to Medicaid due to a computer error. In February 2011, Continuum, the former operator of the two hospitals, allegedly identified 900 potentially improper claims worth nearly $1 million to Medicaid, but failed to return all of the payments–repaying only small batches over the next two-plus years.

The case was initiated by Robert Kane, a former employee of Continuum who was tasked with the company’s internal investigation of improper claims.  Kane was allegedly fired after his review turned up $1 million in overpayments.

Read the SDNY USAO’s press release, “Manhattan U.S. Attorney Files Civil Fraud Suit Against Hospital Group For Fraudulently Delaying Repayment Of Nearly $1 Million Of Medicaid Overcharges”
Read the NY AG’s press release, “A.G. Schneiderman Announces Lawsuit Against Continuum Health Partners, Beth Israel Medical Center And St. Luke’s-Roosevelt”
Read the entire article, “Software Glitch Sparks FCA Suit Against Hospitals for Late Repayment of Medicaid Reimbursements”