U.S. Reaches $8.3 Million Civil Settlement with Reliant Care Group and Reliant Affiliated Entities

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https://www.justice.gov/usao-edmo/pr/us-reaches-83-million-civil-settlement-reliant-care-group-and-reliant-affiliated

Department of Justice
U.S. Attorney’s Office
Eastern District of Missouri

FOR IMMEDIATE RELEASE
Wednesday, July 5, 2017

U.S. Reaches $8.3 Million Civil Settlement with Reliant Care Group and Reliant Affiliated Entities

Submitting False Claims to Medicare for Providing Unnecessary Therapy to Nursing Home Residents

St. Louis, Missouri: The United States Attorney’s Office for the Eastern District of Missouri announced today that the United States, Reliant Care Group, Reliant Care Management Company, Reliant Care Rehabilitative Services, and a number of Reliant affiliated skilled nursing facilities (Reliant) reached a civil settlement that will resolve the United States' claims against Reliant under the False Claims Act for knowingly submitting false claims to Medicare for providing unnecessary physical, speech, and occupational therapy to nursing home residents.

According to the United States’ allegations, from January of 2008 through April of 2014, Reliant provided unnecessary physical, speech and occupational therapy to nursing home residents who had a relatively high level of independence and who were residing in a skilled nursing facility primarily because of a psychiatric condition. The United States alleged that Reliant provided the unnecessary therapy and then sought the inflated reimbursement from Medicare influenced by its own financial considerations. The United States further alleged that some Reliant Care Rehabilitative Services management pressured therapists to provide therapy to residents even when the therapists believed that the therapy was not medically necessary. As part of the settlement, Reliant will repay the United States $8,368,878.

Reliant has also entered into a five-year Corporate Integrity Agreement with the United States Department of Health and Human Services, Office of Inspector General (HHS-OIG). Pursuant to the terms of the Corporate Integrity Agreement, Reliant must comply with a number of reporting obligations to ensure that Reliant remains compliant with Federal health care program requirements.
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