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United States Attorney's Office District of Connecticut
Press Release

January 26, 2009

NEW HAVEN MEDICAL CLINIC PAYS $284,398 TO SETTLE ALLEGATIONS UNDER THE FALSE CLAIMS ACT

Nora R. Dannehy, Acting United States Attorney for the District of Connecticut, today announced that TEMPLE HEALTH SERVICES, LLC, a medical clinic located at 230 George Street, New Haven, Connecticut, has entered into a civil settlement agreement with the Government in which it will pay $284,398 to resolve allegations that it violated the False Claims Act.

Acting U.S. Attorney Dannehy explained that the allegations against TEMPLE HEALTH SERVICES, LLC involved charges billed to Medicare for physical therapy services and physician’s services that were not medically necessary, or were not provided as billed.  Cardiologists would refer Medicare patients with certain cardiac conditions to TEMPLE HEALTH SERVICES, LLC for cardiac rehabilitation.  However, almost every time a Medicare patient went to the clinic for the cardiac rehabilitation services, TEMPLE HEALTH SERVICES, LLC also would bill Medicare for physical therapy services and a physician’s office visit, in addition to billing Medicare for the cardiac rehabilitation services.  Acting U.S. Attorney Dannehy explained that the physical therapy services and physician’s services either were not medically necessary or were not provided as billed.

To resolve its liability under the False Claims Act, TEMPLE HEALTH SERVICES, LLC will pay double damages, in the amount of $284,398, in order to reimburse the Medicare program for conduct occurring between January 1, 2005 and December 31, 2007.  The False Claims Act provides for treble damages and penalties of $5,500 to $11,000 per false claim submitted to the Government.

“Attempts to game the Medicare reimbursement system by billing for medically unnecessary services or for services that are not properly provided as billed depletes the government’s scarce health care resources,” Acting U.S. Attorney Dannehy stated.  “Health care fraud is a national problem that the United States Attorney’s Office is devoted to combating.”

In entering into the civil settlement agreement, TEMPLE HEALTH SERVICES, LLC did not admit liability.

This case was investigated by the Office of Inspector General for the Department of Health and Human Services and was prosecuted by Assistant United States Attorney Richard M. Molot, along with Auditor Kevin A. Saunders.

People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS or the Health Care Fraud Task Force at (203) 785-9270.

 

CONTACT:

 

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
thomas.carson@usdoj.gov

 

 

 

 

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