Kentucky will receive a portion of a $22 million settlement with DaVita Healthcare Partners after the company allegedly committed Medicaid fraud in several states, Attorney General Jack Conway announced on Tuesday.
The dialysis provider, which is based in Denver, Colorado, agreed to the deal following a lawsuit filed by a whistleblower.
Kentucky will receive $172,531.17 of the $22,356,143.08 settlement, with Florida, Colorado, Ohio and the federal government dividing the rest.
DaVita operates clinics in 46 states, in addition to Washington D.C. It allegedly paid kickbacks to get patient referrals, which resulted in false claims being submitted to state Medicaid programs.
The whistleblower suit was filed under the federal False Claims Act. The National Association of Medicaid Fraud Control Units negotiated the settlement with DaVita.
“I am pleased that this settlement allows us to recover funds for our vital state Medicaid program,” Conway said. “My Medicaid Fraud and Abuse Control Unit works hard each day to hold accountable health care companies that participate in this type of deceptive behavior.”
Since taking office in 2008, Conway has recovered more than $280 million for the state and federal Medicaid programs.