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Wednesday, October 23, 2019

REM to pay $1.5 million after allegations of submitting false claims to Medicaid

By Mark Iandolo | Jun 3, 2016

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 with disabilities."

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