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Justice News

Department of Justice
U.S. Attorney’s Office
Northern District of Iowa

Thursday, August 13, 2015

Nursing Facility Chain Agrees To Repay $415,000 To Resolve Civil Overpayment Allegations

Signature Care Centers, LLC, and its seven related nursing facilities – Gowrie Care Center, Lake Park Care Center, Perry Health Care Center, Primghar Rehabilitation and Care Center, Rosewood Manor, Woodlands Rehabilitation Center, and Sutherland Care Center – agreed to pay $415,044.46 to resolve civil allegations that the facility submitted inaccurate cost reports for Medicaid payments for the 2008 and 2010 fiscal years.  As part of the investigation, the government did not allege any patient harm or jeopardy to patients’ conditions, and there was no admission of liability or wrongdoing as part of the settlement.

“This agreement signifies both the importance our office places on ensuring that all providers play by the rules and our office’s dedication to ensuring no federal money is misspent,” said Kevin W. Techau, United States Attorney for the Northern District of Iowa.  “We appreciate the cooperation we received throughout the investigation and the willingness to resolve our concerns without the needless expense of additional resources.”

The matter was jointly pursued by the United States Attorney’s Office for the Southern and Northern Districts of Iowa.  Of the total amount recovered, approximately $231,000 related to conduct associated with facilities in the Southern District of Iowa and the remaining $184,000 related to conduct associated with facilities in the Northern District of Iowa.  The districts worked cooperatively during the investigation with Iowa Medicaid Enterprise, Iowa’s Medicaid Fraud Control Unit, and the Iowa Attorney General’s Office.

Updated August 13, 2015