Thread: Largest U.S. Medicare Fraud settlement $1.7 BILLION

FOR IMMEDIATE RELEASE
THURSDAY, JUNE 26, 2003
WWW.USDOJ.GOV
CIV
(202) 514-2007
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LARGEST HEALTH CARE FRAUD CASE IN U.S. HISTORY SETTLED

HCA INVESTIGATION NETS RECORD TOTAL OF $1.7 BILLION

WASHINGTON, D.C. - HCA Inc. (formerly known as Columbia/HCA and HCA - The Healthcare Company) has agreed to pay the United States $631 million in civil penalties and damages arising from false claims the government alleged it submitted to Medicare and other federal health programs, the Justice Department announced today.

This settlement marks the conclusion of the most comprehensive health care fraud investigation ever undertaken by the Justice Department, working with the Departments of Health and Human Services and Defense, the Office of Personnel Management and the states. The settlement announced today resolves HCA's civil liability for false claims resulting from a variety of allegedly unlawful practices, including cost report fraud and the payment of kickbacks to physicians.

Previously, on December 14, 2000, HCA subsidiaries pled guilty to substantial criminal conduct and paid more than $840 million in criminal fines, civil restitution and penalties. Combined with today's separate administrative settlement with the Centers for Medicare & Medicaid Services (CMS), under which HCA will pay an additional $250 million to resolve overpayment claims arising from certain of its cost reporting practices, the government will have recovered $1.7 billion from HCA, by far the largest recovery ever reached by the government in a health care fraud investigation.

"Health care providers and professionals hold a public trust, and when that trust is violated by fraud and abuse of program funds, and by the payment of kickbacks to the physicians on whom patients and the programs rely for uncompromised medical judgment, health care for all Americans suffers," Robert D. McCallum, Jr., Assistant Attorney General for the Civil Division said. "This settlement brings to a close the largest multi-agency investigation of a health care provider that the United States government has ever undertaken and demonstrates the Department of Justice's ongoing resolve and commitment to pursue all types of fraud on American taxpayers, and health care program beneficiaries."

"Let this case be a continuing reminder to all that in the fight against health care fraud this office will not be deterred," said Acting Principal Deputy Inspector General Dara Corrigan. “Medicare dollars paid to provide ever more expensive health care services to the country's taxpayers should never be fraudulently diverted. This is our job and our trust and we take these duties very seriously," Corrigan concluded.

This latest settlement resolves fraud allegations against HCA and HCA hospitals in nine False Claims Act qui tam or whistleblower lawsuits pending in federal court in the District of Columbia. Under the federal False Claims Act, private individuals may file suit on behalf of the United States and, if the case is successful, may recover a share of the proceeds for their efforts. Under the settlement, the whistleblowers will receive a combined share of $151,591,500, the highest combined qui tam award ever paid out by the government.

"We are grateful for the assistance given by the whistleblowers over the course of the past nine years of investigation and litigation,â€

During 2000 Deposition, Florida Gubernatorial Candidate Took 5th 75 times

Serafin Gomez | August 21, 2010

MIAMI- In the past week, GOP gubernatorial candidate Rick Scott has been blasted by primary opponent, Florida Attorney General Bill McCollum, over his refusal to release a deposition stemming from a lawsuit over his health care company, Solantic. Scott calls it a private matter, that shows zero wrong-doing, and more importantly is not relevant to his quest for the governor's mansion in Tallahassee. Scott has lambasted McCollum for" abusing his office" for political reasons by promoting these allegations.

However, new documents (a total of 45 pages) circulated by the McCollum campaign, raise new questions concerning another deposition Scott gave in 2000 over his time as head of Columbia/HCA Hospital chain. Columbia/HCA settled a $1.7 billion lawsuit over Medicare fraud allegations--- making it the largest Medicare/Medicaid fraud case ever.The newly-unearthed documents show that Scott took the Fifth Amendment, 75 times during a 2000 deposition over a software dispute, not related specifically to the Medicare fraud controversy.

" Upon advice of counsel, I respectfully decline to answer the question by asserting my rights and privileges under the Fifth Amendment of the U.S.Constitution," Scott said repeatedly according to the deposition documents.

Scott at the time was no longer employed by Columbia/HCA but had received millions in a golden-parachute package after he was forcibly removed from the company while it was facing lawsuits and fines over the Medicare fraud.

"This is sleazy and disgusting, " Jennifer Baker, Scott Spokesman said to Fox News about the new documents." [The deposition] had absolutely nothing to do with the Columbia/HCA investigation."

Baker accused the McCollum campaign of desperate measures with only 3 days until the August 24th GOP primary. She said the McCollum campaign was trying to "sway" the election with false allegations.

Full Statement from Baker:

"Just when you think Bill McCollum and the political insiders can't get any sleazier they call on a campaign contributor to do their dirty work and once again engage in last minute desperate dirty campaign tactics. It is disgusting and it is what people hate about politics. It is why Rick Scott is running to put an end to the insider deals that place special interest and power brokers first. Next Tuesday voters will take a stand and elect Rick Scott a conservative outsider who will fight for taxpayers, create jobs and put an end to the sleazy politics of personal destruction. It is time we had a governor who cared more about Floridians' jobs than keeping his own."

http://politics.blogs.foxnews.com/2010/ ... z0xIIYM2UD