WASHINGTON (Legal Newsline) — The U.S. Department of Justice announced July 17 that Ohio-based Foundations Health Solutions Inc. (FHS), Olympia Therapy Inc. (Olympia), and Tridia Hospice Care Inc. (Tridia), and their executives, Brian Colleran (Colleran) and Daniel Parker (Parker), will pay roughly $19.5 million to resolve allegations of false claims to Medicare.

“Clinical decisions should be based on patient needs rather than corporate profits,” said acting assistant attorney general Chad A. Readler of the Justice Department’s Civil Division. “This settlement reflects the department’s continuing commitment to safeguarding patients and the Medicare system.”

At 18 skilled nursing facilities between January 2008 and December 2012, the defendants allegedly submitted false claims for rehabilitation therapy services that were not needed.

“This is one of the largest nursing home operations in Ohio,” said U.S. attorney Benjamin C. Glassman for the Southern District of Ohio. “It is unacceptable for an entity entrusted to care for our most vulnerable and elderly citizens to make decisions based on profit, not quality of care. Subjecting the elderly to inappropriate levels of therapy can be physically harmful and failing to properly certify and recertify hospice patients can have a devastating impact on the patients and their families.”

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