An Oklahoma City home health company and two former corporate officers have agreed to pay $22.9 million to settle federal false claims act and kickback allegations arising from improper payments to referring physicians, according to the U.S. Attorney’s Office for the Western District of Oklahoma.
The settlement resolves allegations that between 2013 and 2020, Carter Healthcare paid remuneration to its home health medical directors in Oklahoma and Texas for the purpose of inducing referrals of Medicare and TRICARE home health patients. The Defendants’ alleged conduct resulted in the submission of claims for services provided to these illegally referred patients, in violation of the False Claims Act.
The allegations resolved by the settlement were brought in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private parties to sue on behalf of the United States for false claims and to receive a share of any recovery.