Acadia Healthcare will pay $19.85 million to settle allegations it billed federal and state governments for medically unnecessary inpatient behavioral health services.
Here are five facts to know about the settlement:
- Acadia will pay $16.7 million to the federal government to resolve allegations the behavioral health provider falsely billed Medicare, Medicaid and Tricare, according to a Sept. 26 news release from the Justice Department.
- The majority of the settlement money will go to the federal government. Acadia will also pay $3.2 million to Florida, Georgia, Michigan and Nevada to settle claims in these states.
- The Justice Department alleged Acadia admitted patients not eligible for inpatient treatment and failed to discharge patients when they no longer needed inpatient care.
- The case was first brought by former Acadia employees in 2017, and later taken up by
the Justice Department. The whistleblowers will receive $3.2 million in the settlement. - Acadia does not admit any liability as part of the settlement.
"Acadia has been cooperating with the government since this matter was brought to our attention in 2017 and has consistently disclosed this in our public filings," an Acadia spokesperson said in a statement shared with Becker's. "Importantly, the agreement includes no admission of wrongdoing or liability and resolves historical matters which allows us to ensure our focus remains on providing quality care to our patients and their families."
In September, The New York Times published an investigation in September that found Acadia allegedly delayed discharges of patients to increase profits. A spokesperson told Becker's the reports were inaccurate.
"Decisions on patient care, including how long treatment may be necessary, are never business decisions made by the company," the spokesperson said.