HARTFORD, Conn. (Legal Newsline) – Connecticut Attorney
General George Jepsen announced that REM Connecticut Community Services Inc. agreed to a $1.5 settlement after allegations that the company submitted
false claims to Medicaid.
"My office is committed to protecting Medicaid and
other state health care programs as well as the taxpayers who fund them, and I'm
pleased that we have reached a resolution to this case," Jepsen said.
"I appreciate the continued coordination and partnership with our client
agencies and our law enforcement partners to ensure that our most vulnerable
citizens as well as our taxpayer interests are protected."
REM had allegedly entered into contracts with the state of
Connecticut to operate group homes for the intellectually disabled and for
at-risk youth. According to Jepsen’s office, the company submitted claims to
Medicaid for interest expenses that were actually not allowable under the state’s
Medicaid cost reporting guidelines.
“The Department of Developmental Services is grateful to the attorney general's office for its work in uncovering the billing irregularities
in this case," Morna Murray, commissioner of DDS, said. "While we
support our private provider network and value their services, DDS will remain
vigilant that reimbursable costs meet our state cost standards and thus fulfill
our obligation, on multiple levels, to serve the best interests of individuals
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State of Connecticut Office of the Attorney General
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