UHS Settles Fraud Charges at Sierra Vista Hospital

Posted on May 23, 2012


Psychiatric Solutions Inc. and Universal Health Services Inc. have agreed to jointly pay $3.45 million to the United States to settle allegations that subsidiary BHC Sierra Vista Hospital Inc. of Sacramento defrauded the Medicare program, says U.S. Attorney Benjamin Wagner.

The United States contends that Sierra Vista failed to provide the number of services to certain patients required to qualify for per-diem payment under Medicare’s Partial Hospitalization Program. Sierra Vista then fraudulently billed for these unqualified patient visits from January 2003 through September 2009, the government says.

The settlement also resolves allegations contained in a whistleblower lawsuit filed by a former Sierra Vista Utilization Review Coordinator under the qui tam provisions of the False Claims Act. The whistleblower provisions of the False Claims Act permit private citizens with knowledge of fraud against the government to bring an action on behalf of the United States and to share in any recovery. As part of today’s resolution, the whistleblower will receive a percentage share of the recovery in the amount of $587,000.

Read the full article with more details here: http://www.centralvalleybusinesstimes.com/stories/001/?ID=20956