Maxim Healthcare Services, a national home healthcare company based in Columbia, Md., has agreed to a settlement of approximately $150 million to resolve criminal and civil charges relating to a nationwide fraud scheme, according to a news release from the Department of Justice.
The criminal complaint charged Maxim of submitting more than $61 million in fraudulent billings to government healthcare programs for services that were not rendered or otherwise not reimbursable. The submission was a “common practice” at the company from 2003-2009, according to the release.
Maxim entered into a deferred prosecution agreement with the DOJ to avoid a healthcare fraud conviction. Under the DPA, which will expire in 24 months if the company meets all requirements, Maxim has agreed to pay a criminal penalty of $20 million and to pay approximately $130 million in civil settlements in the matter, including federal False Claims Act claims.
Nine individuals — eight former Maxim employees, including three senior managers, and the parent of a former Maxim patient — have pleaded guilty to felony charges arising out of the submission of fraudulent billings.
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