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VOL. 41 | NO. 24 | Friday, June 16, 2017

Genesis Healthcare to pay $53.6M to settle federal probes

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LOS ANGELES (AP) — Federal prosecutors say Genesis Healthcare has agreed to pay $53.6 million to settle allegations that it submitted false claims for unnecessary therapy and nursing care.

The U.S. Justice Department announced the settlement Friday.

Prosecutors say the company submitted false claims to Medicare and Medicaid for medically unnecessary therapy, hospice service and substandard nursing care.

The company headquartered in Kennett Square, Pennsylvania owns and operated nursing facilities, senior living facilities and rehabilitation centers.

The settlement also resolved allegations that some services provided by nursing homes owned by Genesis were "grossly substandard and/or worthless and therefore ineligible for payment."

A phone message seeking comment left with a media representative for Genesis Healthcare was not immediately returned.