Justice Department probing Oak Street Health for potential false claims violations

The Justice Department is investigating Oak Street Health, a Chicago-based network of primary care centers for Medicare beneficiaries, over potential False Claims Act violations, according to a filing the company submitted to the Securities and Exchange Commission.  

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The Justice Department requested a civil investigative demand from the company on Nov. 1. It is requesting documents and information related to Oak Street Health’s relationships with third-party marketing agents and its service offering free rides to Medicare beneficiaries. 

In the filing, Oak Street Health said it is complying with the request and it can’t predict the outcome of the investigation. 

“Regardless of the outcome, this inquiry has the potential to have an adverse impact on us due to any related defense and settlement costs, diversion of management resources and other factors,” Oak Street said in the filing.  

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