New York Attorney General Barbara D. Underwood announced today a $883,000 settlement with City Practice Group of New York, LLC – popularly known as “CityMD” – for causing the submission of false claims to New York State’s Empire Plan, a health insurance plan for state and local government employees and their dependents. CityMD, a Delaware company with a principal place of business in New York City, manages urgent care practices primarily in the New York City metropolitan area.

The Attorney General’s investigation revealed that from December 2010 to September 2013, CityMD knowingly caused its affiliates to overbill the Empire Plan for facility fees to which they were not entitled – which resulted in a total amount of $197,390.52 in overbilling. The CityMD investigation arose from a whistleblower’s allegations under the qui tam provisions of the New York False Claims Act. The Act allows private persons (known as “relators”) to file civil actions on behalf of the government and to share in any recovery. The relator here will receive over $176,000 from the settlement for bringing this misconduct to light.

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