A Texas health care company will pay $990,478 to resolve allegations it violated the False Claims Act by submitting claims to Medicare for non-covered hospice services, according to the U.S. Attorney’s Office for the Southern District of Texas.
The settlement resolves allegations that Familia Healthcare Services Inc. dba Del Cielo Hospice and Palliative Care knowingly submitted false claims from May 12, 2017, through Jan. 31, 2022. The claims allegedly involved hospice services for patients who were not eligible for, and did not qualify for, the hospice benefit in violation of the False Claims Act, according to Department of Justice a news release.
The settlement includes the resolution of claims a former employee of Del Cielo Hospice brought under the qui tam or whistleblower provisions of the False Claims Act. Under those provisions, a private party can file an action on behalf of the United States and receive a portion of any recovery. The whistleblower will receive 16% of the proceeds from the settlement with Del Cielo Hospice.