Consent judgment, guilty pleas in L.A. scheme to bill for unnecessary treatment of homeless

by Ben Vernia | January 25th, 2010

DOJ announced today that the former owners of a Los Angeles healthcare provider, the Los Angeles City of Angels Medical Center, have agreed to a consent judgment to pay $10 million on False Claims Act charges that they paid “recruiters” to procure homeless persons to serve as patients for unnecessary medical care billed to Medicare and Medi-Cal (California’s Medicaid program). The two men and a former senior executive at the center agreed to plead guilty to violations of the Antikickback Statute in connection with the scheme.

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