Hospital To Pay $5.25 Million Over Inflated Claims
SANTA MONICA, Calif. (AP) — A Santa Monica hospital has agreed to pay the federal government $5.25 million to resolve allegations it submitted inflated claims to Medicare.
Federal prosecutors say from 1996 through 2003, Saint John's Health Center engaged in "turbocharging," meaning it dramatically increased charges billed to Medicare for care provided to hospital inpatients far in excess of any increase in costs associated with that care.
The case involved "outlier payments," which are designed to compensate hospitals for providing extraordinarily costly care to patients.
The hospital agreed Wednesday to resolve the allegations without admitting any wrongdoing. It will make the payment by Aug. 30.
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