Corporate Compliance

False Claims Act suit filed against adolescent psychiatric facility

Compliance Monitor, November 11, 2009

The United States and Commonwealth of Virginia are intervening in a False Claims Act suit against Medicaid providers Universal Health Services Inc., Keystone Marion LLC, and Keystone Education and Youth Services LLC, reports the Department of Justice (DOJ).
 
The companies did business as Keystone Marion Youth Center, a facility that receives Medicaid funds to provide psychiatric evaluation and counseling for boys aged 11-17. The lawsuit, filed by several former therapists, alleges the defendants provided poor care to patients, falsified records to cover up violations, and fraudulently billed Medicaid.
 
The United States’ intervention is in response to the exploitation of the young patients, according to the DOJ.

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