Anne Arundel Medical Center Settles Lawsuit For $3.154 Million

ANNAPOLIS, MD - The Anne Arundel Medical Center in Annapolis has agreed to pay the United States $3.154 million to settle allegations filed under the False Claims Act that the medical center submitted false claims to Medicare for services that were considered not medically necessary.

“Companies that submit false bills to the government must be held accountable. The United States Attorney’s Office is committed to taking the steps necessary to protect Medicare and other federal healthcare programs from fraud and abuse and recover taxpayers’ money,” said U.S. Attorney Robert K. Hur in a statement.

The allegations date back to June 2007 when the medical center opened its Anticoagulation Clinic to monitor outpatient’s anticoagulation therapy and billed for medical services performed when a patient's Coumadin dose needed to be adjusted or a patient presented a change in medical condition.

According to the settlement agreement, between Jan. 1, 2010, and Dec. 31, 2013, the medical center submitted false claims to Medicare, TRICARE and the Federal Employees Health Benefits Program for services that were not medically reasonable and necessary at the same time it submitted and was paid for claims for the blood tests.

The settlement resolves a lawsuit filed by Barbara McHenry, a former medical center employee, under the qui tam, or whistleblower, provisions of the False Claims Act. As part of the settlement, the whistleblower will receive $473,100.