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NJ hospital pays $9 million to settle fraud allegations

Compliance Monitor, June 27, 2012

AHS Hospital Corp., Atlantic Health System Inc., and Overlook Hospital, located in New Jersey, will pay almost $9 million to resolve allegations of Medicare fraud, the Department of Justice announced June 21.

Overlook Hospital, which is owned and operated by AHS and Atlantic Health System, allegedly billed Medicare for inpatient treatment for patients who should have been received outpatient treatment or observation services.  
The settlement partially resolved allegations in a whistleblower suit filed by former Overlook employees.

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