NASHVILLE, Tenn.- CareAll
and related companies have agreed to pay nine million, $375,000 to the
government in damages.
According to a statement
from federal prosecutors, the company got into trouble for some of their Medicare
billings from more than 10 years ago. Prosecutors say the company submitted
fraudulent cost reports during that investigation.
They also say that the
company used what they call a sham owner of a related company to "rob the
Medicare Trust Fund of millions of taxpayer dollars."
A spokesman for CareAll
blamed the issue on what he called an "arcane method of cost accounting
that is no longer required by the Federal Government."
He goes on to say that the
lawsuit "involved matters that are over 10-years-old at a time when CareAll
did not even own the agencies involved."