October 24, 2016
Life Care Centers of America Inc., the Tennessee-based operator of more than 220 skilled nursing facilities, and its owner Forrest L. Preston, agreed to pay $145 million to resolve charges that Life Care violated the False Claims Act by submitting claims to Medicare and TRICARE for rehabilitation therapy services that were not reasonable, necessary or skilled. It is the largest settlement with a skilled nursing facility chain in DOJ’s history. The allegations originated in a whistleblower lawsuit filed by former Life Care employees Tammie Taylor and Glenda Martin under the qui tam provisions of the False Claims Act. They will receive a whistleblower award of $29 million from the proceeds of the government’s recovery. Whistleblower Insider
Tagged in: FCA Federal, Other Government Health Programs, Whistleblower Case, Whistleblower Rewards,