Tenn. Atty Gen. announced $800,000 settlement on February 20, 2014, resolving Medicaid Upcoding Fraud against Chattanooga-based mental health facility AIM Center Inc. In addition to paying $800,000 to Tennessee’s Medicaid Program, AIM Center Inc. is to enter into a five-year corporate integrity agreement (CIA) with the U.S. Department of Health and Human Services Office of Inspector General to make sure it stays compliant with federal healthcare benefit program requirements.
The principal allegation against Aim Center Inc. is that it overcharged Medicaid by submitting claims for psychosocial rehabilitation services that were more lengthy and expensive than the services actually provided.
This appears to be a case where the government also relied on the provision in the False Claims Act that penalizes healthcare providers for not returning overpayments, 31 U.S.C. § 3729(a)(1)(G), in this instance as a result of double filling.