Extendicare Health Services Inc., one of the nation’s largest nursing home companies, has agreed to pay the federal government $38 million to resolve whistleblower allegations that it provided inappropriate and worthless therapies to elderly patients.
The False Claims Act case alleged, among other things, that Extendicare billed Medicare and Medicaid for materially substandard skilled nursing services and failed to provide proper care to its residents. Also, the settlement resolves allegations that Extendicare provided medically unreasonable and unnecessary rehabilitation therapy services so that it could maximize its Medicare billings.
Extendicare, with its U.S. headquarters in Milwaukee, operates 146 skilled nursing facilities in 11 states. The settlement involves allegations from 2007 to 2013 at 33 of the company’s skilled nursing homes in eight states, including Pennsylvania.
Under terms of the settlement announced by the U.S. Justice Department today, the federal government will receive $32.3 million and the eight state Medicaid programs will receive $5.7 million.
Two whistleblowers who prompted the case will receive a part of the settlement. One will receive $1.8 million, plus another $990,000 to settle her claims of unlawful retaliation and legal fees. The other whistleblower will receive $250,000.
If you have information involving nursing home fraud or another type of government fraud, you should contact one of the experienced whistleblower attorneys at Ross Feller Casey immediately.
Ross Feller Casey is a Philadelphia law firm with a national reputation for winning major whistleblower lawsuits, including those involving nursing homes.
Your ability to file a successful qui tam lawsuit could be limited, so the time to act is now.
To learn more, go to www.rossfellercasey.com/practice-areas/whistleblower-litigation/