DOJ Recovers $2.9 Billion in Fraud in 2024

The Department of Justice (DOJ) announced that the agency recovered $2.9 billion in resolutions to federal False Claims Act allegations for 2024 (fiscal year ending September 30).  This is a slight increase from the historic $2.7 billion recovered in fiscal year 2023. Office of Public Affairs | False Claims Act Settlements and Judgments Exceed $2.9B … Read more

Fixing Healthcare Spending in the U.S.

On Monday, January 20, Donald Trump will be inaugurated as the 47th president of the U.S. While his claim of an election mandate is very debatable, the expectations that come with his return to office are many. Chief among these expectations is that he/his administration will “fix” the debt driven, inflation riddled economy of the … Read more

InnovAge Fraud Litigation Expands

A Colorado federal judge last Wednesday certified a class of stockholders in a securities suit against InnovAge (https://www.innovage.com/) alleging the senior health care company made misleading statements in its initial public offering that later caused stock prices to fall post a government audit that exposed false statements. Three public pension funds based in Texas and … Read more

CMS Reinforces Hospice Regulatory, Fraud Focus

Yesterday, CMS dropped a memo to state survey agencies titled, “Ensuring Consistency in the Hospice Survey Process to Identify Quality of Care Concerns and Potential Fraud Referrals”. The memo is available here: qso-25-06-hospice According to CMS, the memorandum aims to bolster current mechanisms for detecting instances where a hospice provider’s failure to adhere to the … Read more

Oxford Valley Health v. Nursa Update

This case caught my attention back in March as it raises issues that I commonly hear about namely, staffing agency costs and possible abuses in terms of actual time worked v. time billed by the agency. My March post is available here: https://rhislop3.com/2024/03/28/skilled-nursing-operator-takes-legal-action-against-staffing-platform-for-alleged-overbilling/ Nursa, an electronic staffing application company based in Utah, filed a lawsuit … Read more

Federal Judge Key Ruling on False Claims Act

On September 30, US District Judge Kathryn Kimball Mizelle from the Middle District of Florida ruled in a landmark decision that the qui tam provision of the federal False Claims Act (FCA) is unconstitutional. This ruling could have significant impact on whistleblower (Qui Tam) actions filed against healthcare providers, particularly home health and hospice (most … Read more

Check: Medicare Advantage Coverage Issues

Late last year, CMS proposed a final rule to address the issue of coverage denials or service denials via prior authorization on behalf of Medicare Advantage Plans. Between providers and patients, coverage issues have significantly increased as beneficiary participation has increased (today, about 1 in 2 Medicare beneficiaries is in a Medicare Advantage plan). https://rhislop3.com/2023/11/09/cms-offers-fix-to-medicare-advantage-denials/ … Read more

Healthcare Fraud is Rampant and so are Costs

The U.S. spends more than any other world nation on healthcare – gross dollars and per capita. The systemic growth of spending continues at rate beyond inflation, spurred-on by an aging demographic and chronic diseases like diabetes and obesity.  Cost growth in programs like Medicare is rampant but then again, so is fraud. Federal spending … Read more

Phantom Diseases and Medicare Advantage Fraud

According to a Wall Street Journal article from August 4, Medicare Advantage plans are using home nurse visits to identify possible or questionable disease states/conditions (so called, phantom diseases) via screenings.  These diagnoses then turn into what appears to be, possible events of fraud via additional reimbursement tied to these new-found conditions. Exclusive | The … Read more

Medicare Fraud: $2.75 Billion Recovered

Late June, the Department of Justice released its 2024 Healthcare Fraud Enforcement Action, detailing actions against nearly two hundred individuals, encompassing Medicare fraud totaling $2.75 billion in recovered losses ($1.6 billion in actual cash losses). One of the major problems with Medicare, aside from its structural financing, is that it is bureaucratically bloated, full of … Read more