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April 17, 2020
Health Law Weekly

Rehab Services Provider Agrees to $4 Million Fraud Settlement

  • April 17, 2020

Encore Rehabilitation Services LLC agreed to pay $4.03 million to resolve allegations that it knowingly caused three Michigan skilled nursing facilities to submit false claims to Medicare for rehabilitation therapy services that were not reasonable, necessary, or skilled, the Department of Justice announced April 10.

According to a press release, the settlement resolves allegations that Encore’s policies and practices at the nursing facilities resulted in the provision of unreasonable, unnecessary, or unskilled rehabilitation therapy or the recording of therapy minutes as individual therapy when concurrent or group therapy was actually provided. 

Encore, based in Farmington Hills, MI, provides rehabilitation services to patients at over 600 health care facilities, including skilled nursing facilities, in more than 30 states.

In addition to the settlement, Encore entered into a five-year Corporate Integrity Agreement with the Department of Health & Human Services Office of Inspector General that requires, among other things, the implementation of a risk assessment and internal review process designed to identify and address evolving compliance risks. 

The settlement resolves allegations only, there has been no determination of liability.

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