Corporate Compliance

Condell Medical Center pays $36M after self-disclosing false claims violations

Compliance Monitor, December 3, 2008

Condell Medical Center, in Libertyville, IL, will pay the federal government and the state of Illinois $36 million after voluntarily disclosing it filed false claims for Medicare reimbursement, according to a Department of Justice (DOJ) press release.
 
According to the DOJ, from 2002 through 2007, Condell allegedly leased medical office space to physicians at a cost below fair market value, issued improper loans to physicians, and reimbursed physicians for services that lacked the appropriate written agreements.
 
Condell avoided litigation and paid a discounted fine because the company self-disclosed the violations. Under the False Claims Act, those who self-disclose are liable for double, not triple, damages.
 
Condell does not admit liability and settled in an attempt to avoid the delay, uncertainty and expense of litigation, according to the DOJ press release.

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