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Loma Linda Behavioral Medicine Center

Redlands, CA: (Apr-25-07) A federal lawsuit was filed, following a whistleblower's lead against the Loma Linda Behavioral Medicine Center, accusing it of fraudulently over billing federal health insurance programs. The allegations made against Loma Linda BMC in a lawsuit filed pursuant to the qui tam provisions of the False Claims Act led to a settlement in which Loma Linda agreed to pay more than $2 million to settle claims. The lawsuit was filed in 1998 by a former employee of Healthcare Financial Advisors (HFA), a consulting firm that assists hospitals in preparing cost reports that are submitted to insurers. The lawsuit alleged that HFA helped its hospital clients seek reimbursement for unallowable costs. The lawsuit specifically alleged that HFA helped clients prepare two cost reports - an inflated one that was submitted to Medicare and a second one, designed for internal use only, that more accurately reflected the amount of reimbursement the hospital should have received. Loma Linda BMC was accused of over billing from 1992 through 1996, when it submitted cost reports to Medicare and Medi-Cal that sought reimbursement unrelated to patient care at the hospital. [LAWFUEL: MEDICARE WHISTLEBLOWER]

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Published on Apr-30-07


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