The Methodist Hospital in Houston agreed to pay $9.9 million to settle allegations that it improperly increased charges to Medicare patients, according to a report in the Houston Chronicle.

The allegations brought by the Department of Justice against the hospital claimed that Methodist inflated charges for inpatient and outpatient care to receive outlier payments — supplemental reimbursement to hospitals to pay for care when it is unusually high — that it shouldn't have received, according to the report.

Methodist said in the report that it agreed to the settlement so the hospital can "can continue focusing on its clinical and academic missions and avoid a lengthy dispute with the government."

The hospital denied the government's allegations.  

Read the Chronicle's report about the Methodist Hospital fraud settlement.