Hospitals and ambulance companies to pay $20 million to settle fraud claims

The United States Dept. of Justice and the Dept. of Health and Human Services announced that Adventist Health System Sunbelt Healthcare Corp., three affiliated hospitals and a management company that administered ambulance operations at the three hospitals have agreed to pay the U.S. $20.3 million to settle allegations that they overcharged Medicare. The government alleged that the companies charged for non-medically necessary ambulance transports.

The two whistleblowers who brought the qui tam suits which disclosed these practices will receive approximately $2.4 million.

The Dept. of Justice released its press release on October 28, 2004.