Cathedral Healthcare Fraud Settlement
March 10, 2008 by brian
The Earth Times and the U.S. Department of Justice reported on March 4, 2008, settlement of a False Claims Act case against Cathedral Healthcare System, Inc. in New Jersey. Whistleblowers Peter Salvatori and Sarah Iveson will receive $848,000 of the $5.3 Million settlement paid by Cathedral.
The hospital system improperly increased charges to Medicare patients to obtain higher Medicare reimbursement from the federal government. The whistleblowers helped the federal government with the evidence that Cathedral had wrongfully increased charges for both inpatient and outpatient care of Medicare patients, illegally obtaining higher “outlier†type payments from Medicare than the hospital system was entitled to receive.
If you are seeing fraud on the government, contact us by calling 800-377-1812 for strictly confidential advice from experienced counsel, with no fee obligation.
Halliburton Couldn’t Stop Bunny Greenhouse
January 4, 2007 by bob
Despite prevailing tides at the U.S. Army Corps of Engineers, Bunny Greenhouse just couldn’t reconcile the lack of competition for large military contracts that were being awarded to the defense industry contractor Halliburton. As a longtime procurement official at that agency she was determined to deliver the best outcomes and full disclosure for American taxpayers on large-scale military contracts that were being handed out as no-bid contracts to Halliburton and its subsidiary Kellogg, Brown, and Root (KBR).
Bunny referred to the mismanagement of these matters as “the most blatant and improper contract abuse I have witnessed during the course of my professional career.”
From The Washington Post:
Bunny Greenhouse was once the perfect bureaucrat, an insider, the top procurement official at the U.S. Army Corps of Engineers. Then the 61-year-old Greenhouse lost her $137,000-a-year post after questioning the plump contracts awarded to Halliburton in the run-up to the war in Iraq. It has made her easy to love for some, easy to loathe for others, but it has not made her easy to know.
In late August, she was demoted, her pay cut and her authority stripped. Her former bosses say it’s because of a years-long bout of poor work habits; she and her lawyer say it’s payback for her revelations about a politically connected company.
Now Bunnatine Hayes Greenhouse is becoming one of the most unusual things known in the upper echelons of government and industry — a top-shelf bureaucrat who is telling all she knows. For honesty’s sake, she says.
Miami Hospital Pays $15.4 Million to Resolve Fraud Case for Kickbacks and Unnecessary Treatments
December 14, 2006 by brian
via United States Department of Justice
THURSDAY, NOVEMBER 30, 2006
WASHINGTON – Larkin Community Hospital in Miami and its current and former owners, Dr. Jack Michel, Dr. James Desnick, Morris Esformes and Philip Esformes, have paid $15.4 million to settle federal and Florida civil health care fraud claims against them, the Justice Department announced today. Additionally, 34 related companies owned by the Esformes that were used to operate nine assisted living facilities are part of the settlement along with Claudia Pace, an employee of one of the Esformes-owned companies; and Frank Palacios, a long-time employee of the hospital.
The settlement resolves the civil case entitled United States v. Jack Jacobo Michel, M.D., et al., which the government filed in 2004, alleging violations of the False Claims Act. The state of Florida joined the suit later that year.
The government alleged that in 1997, Larkin, then owned by Desnick, paid kickbacks to physicians in return for patient admissions. The United States contended that the primary recipient of the kickbacks was Jack Michel, who was paid for patient admissions to Larkin by himself and his brother, Dr. George Michel. Jack Michel purchased Larkin in 1998. In 2000, Desnick was a party to a $14 million settlement with the United States for a similar kickback scheme from 1992 to 2000 at another facility he owned, Doctors Hospital of Hyde Park in Chicago.
The United States also alleged in the Michel suit that from 1998 to 1999, Jack Michel, George Michel, Morris Esformes, Philip Esformes, Frank Palacios and Claudia Pace conspired to admit patients to Larkin for medically unnecessary treatment. The government asserted that some of these patients came from assisted living facilities owned and operated by Jack Michel, Morris Esformes and Philip Esformes.
“The Department of Justice is committed to vigorously litigating cases about conduct that undermines the integrity of the Medicare and Medicaid programs,†said Peter D. Keisler, Assistant Attorney General for the Department’s Civil Division. “We will not tolerate health care providers who pay kickbacks or perform medically unnecessary treatments on elderly beneficiaries in order to generate Medicare and Medicaid payments.â€
The case was investigated by the U.S. Department of Health and Human Services, Office of Inspector General; the Federal Bureau of Investigation; and the Florida Medicaid Fraud Control Unit. The case was handled by the Justice Department’s Civil Division, the U.S. Attorney’s Office for the Southern District of Florida in Miami and the Office of the Attorney General of the state of Florida.
Bobby L. Maxwell - Fighting the Good Fight
December 3, 2006 by bob
Bobby L. Maxwell - another modern day hero trying to make the world a better place.
Over the course of his distinguished career as an auditor for the Interior Department, he recovered hundreds of millions of dollars from oil companies that were routinely and consistently underreporting royalty payments to the federal government. He was so successful at making the oil companies toe the line that he was eventually promoted to a position where he was supervising 120 people.
You’d think that someone who had been praised by the Secretary of the Interior as recently as 2003 for their outstanding job performance and leadership skills would have at least a little job security, but Bobby Maxwell recently found out that this isn’t always the case.
