United States Attorney
District of Connecticut

PRESS RELEASE
May 12, 2008                       

GREENWICH HOSPITAL ENTERS INTO $605,274 FEDERAL CIVIL SETTLEMENT AGREEMENT

Nora Dannehy, Acting United States Attorney for the District of Connecticut, today announced that GREENWICH HOSPITAL, located at 5 Perryridge Road, Greenwich, Connecticut, has entered into a civil settlement agreement with the Government in which it will pay $605,274 to resolve allegations that it violated the False Claims Act.
Acting U.S. Attorney Dannehy explained that the allegations against GREENWICH HOSPITAL involved charges to Medicare for infusion therapy and chemotherapy administration services. During the time period at issue, Medicare allowed payment for one unit of infusion therapy and chemotherapy administration per patient visit. However, on many occasions, GREENWICH HOSPITAL billed Medicare for multiple units of these services. Instead of billing for one unit per patient visit, GREENWICH HOSPITAL often billed Medicare for between two and five units.

To resolve its liability under the False Claims Act, GREENWICH HOSPITAL will pay double damages, in the amount of $605,274, in order to reimburse the Medicare program for conduct occurring between August 1, 2000 and December 31, 2004. The False Claims Act provides for treble damages and penalties of $5,500 to $11,000 per false claim submitted to the Government.

"The health care system relies on hospitals to bill Medicare honestly and accurately," Acting U.S. Attorney Dannehy stated. "Billing Medicare for inflated charges relating to chemotherapy and infusion services damages the fiscal integrity of the Medicare program."

In entering into the civil settlement agreement, GREENWICH HOSPITAL did not admit liability and the agreement indicates that the parties entered into the settlement to avoid the uncertainty and expense of litigation.

This case was investigated by the Office of Inspector General for the Department of Health and Human Services and the Federal Bureau of Investigation, and was prosecuted by Assistant United States Attorney Richard M. Molot, along with Auditor Kevin Saunders.

People who suspect health care fraud are encouraged to report it by calling the Health Care Fraud Task Force at (203) 785-9270 or 1-800-HHS-TIPS.

U.S. ATTORNEY'S OFFICE
Tom Carson
(203) 821-3722
thomas.carson@usdoj.gov