Virginia: Nursing Homes – a Lawyer’s Fraud

Virginia: Nursing Homes – a Lawyer’s Fraud

On April 10, 2014, by filing a 55-page Complaint, the United States Department of Justice intervened and consolidated 3 qui tam (“whistle-blower”) False Claims Act lawsuits in Virginia , alleging multi-million dollar Medicare and Medicaid fraud against HCR ManorCare, Inc. The lawsuit is United States of America, ex rel. Christine Ribik, Patrick Gerard Carson, and Marie Slough v. HCR Manorcare, Inc., Manor Care, Inc., HCR Manorcare Services, LLC, and Heartland Employment Services, LLC, Nos. 1:09cv13, 1:11cv1054 & 1:14cv1228 in the United States District Court for the Estate District of Virginia, Alexandria Division.

Defendant is the United States’ second largest nursing home chain. HCR Manorcare boasts roughly 500 nursing homes, assisted living centers, rehabilitation clinics, and home health agencies nationally.

Allegedly, HCR ManorCare executives orchestrated a grand scheme to defraud government programs by providing inter alia excessive, unnecessary, and sometimes even harmful physical, occupational, speech, and other skilled therapies in its nursing homes, pushing most if not all patients – even dying ones – into therapy, including often at the highest billing category, Ultra High RUG. Some HCR ManorCare facilities allegedly billed 90+% and even 100% of their therapy patients at Ultra High.

An estimated $60,000,000,000.00/year of government funds are lost to healthcare fraud, and “whistle-blowers” play a critical role in combating such rampant fraud – and necessarily and appropriately are compensated significantly for their important role. Mr. Waterman’s law office represents such “whistle-blowers” in qui tam False Claims Act suits.