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Wisconsin reaches record settlement

LTC Liability Monitor, March 23, 2005

The Wisconsin Department of Justice's Medicare Fraud Control Unit has reached a $2.3 million settlement with Extendicare Homes, Inc., Managed Care Law Weekly reported. The payment is to be the largest in the history of the state's Medicare Fraud division.

The settlement comes after the state Department of Health and Family Services (DHFS) issued 36 notifications of violation in two and a half years to Lakeside Nursing and Rehabilitation home, an Extendicare property. A resident at the facility died of sepsis from an infected pressure ulcer in 2003. Other alleged problems at the facility include multiple improperly treated pressure ulcers, improperly trained nurses, and failure to adequately assist with toileting and personal hygiene.

As part of the settlement, Extendicare will forfeit its operating license and pay $356,459 in DHFS fines and an additional $1.9 million for care residents were charged for, but didn't receive, reported Managed Care Law Weekly.

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