U.S. Department of Justice: Maryland Hospital Agrees to Pay $4.9M for Medically Unnecessary Hospital Admissions


The Justice Department reports that a Towson, MD, hospital will pay $4.9M for false claims to Medicare, Medicaid and other federal healthcare programs.


In particular, the hospital disclosed that it admitted patients for short stays – typically one or two days – that were not warranted by the patient’s medical condition, and thereby generated a larger reimbursement than was proper for each patient.   Of the $4.9 million to be paid by St. Joseph’s, $4.6 million will go the United States, and $152,406 will go to the state of Maryland, which is also a party to the agreement.

“The improper admission of patients for the purpose of obtaining increased reimbursement is a significant drain on the resources of federal and state healthcare programs,” said Stuart F. Delery, Principal Deputy Assistant Attorney General of the Justice Department’s Civil Division.   “This recovery reflects the Department’s continuing efforts to safeguard federal funds.”

Read the full report here.

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