Healthcare providers that settled cases involving allegations of Medicare fraud or overbilling received more than $36 billion in interest-free loans from HHS to address cash flow shortages caused by the pandemic. Providers accused of Medicare fraud also received more than $20 billion in federal grants meant to cover lost revenues and expenses tied to the pandemic, according to the report.
Healthcare companies that are banned from doing business with Medicare did not receive the grants or loans, according to the report. However, hospitals and other providers with past settlements were not barred from receiving Medicare advance payments or grants.
Hospitals that received Medicare advance payments have seven months to a year to repay the loans without interest. The grants do not have to be repaid.
Access the full Bloomberg Law article here.
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