Violation Tracker Individual Record

Company: 
Rex Healthcare
Penalty: 
$1,900,000
Year: 
2011
Date: 
April 4, 2011
Primary Offense: 
False Claims Act and related
Violation Description: 

Rex Healthcare, a 655-bed hospital in Raleigh, N.C., agreed to pay the United States $1.9 million, plus interest, to settle allegations that it submitted false claims to Medicare. The the hospital was alleged to have routinely submitted claims to Medicare for a variety of minimally-invasive procedures during the period 2004 through 2007, which the hospital classified as inpatient admissions in order to increase its reimbursement from Medicare, despite the absence of medical necessity justifying the more expensive inpatient admissions.

Level of Government: 
federal
Action Type: 
agency action
Agency: 
Justice Department Civil Division
Civil or Criminal Case: 
civil
Facility State: 
North Carolina
Facility City: 
Raleigh
Source Notes: 
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Parent company note: 
Parent-subsidiary relationship is current as of the most recent revision listed in the Update Log.