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NY Nursing Homes Fined $9M for Medicaid Fraud
19 Aug
Summary
- Three Buffalo-area nursing homes must repay $9 million.
- Facilities submitted fraudulent claims to increase reimbursement.
- Investigation began with a whistleblower complaint.
Three nursing homes in the Buffalo area have agreed to pay $9 million to settle allegations of Medicaid and Medicare fraud. The facilities, Safire Rehabilitation of Northtowns, Safire Rehabilitation of Southtowns, and Williamsville Suburban Nursing Home, admitted to submitting fraudulent claims.
An investigation by New York's Attorney General and federal authorities found that from July 2016 to December 2020, the nursing homes falsified data regarding rehabilitative services. This manipulation was done to artificially increase their Medicaid reimbursement rates.
As part of the settlement, $6 million will be paid to resolve Medicaid fraud claims, with $3.6 million going to New York and $2.4 million to the federal government. An additional $3 million will be paid for Medicare fraud. The facilities must also implement new procedures to ensure proper documentation and resident care.
The investigation was prompted by a whistleblower complaint filed in December 2020. New York's Attorney General emphasized the commitment to rooting out fraud and neglect in nursing homes to protect vulnerable residents.
