Condell Health Network in Illinois to Pay $36 Million After Self-Reporting Possible Fraud

Condell Health Network, parent corporation of Condell Medical Center in Libertyville, Ill., has agreed to pay $36 million to the United States and Illinois after disclosing that it received improper Medicare and Medicaid payments.

Condell voluntarily disclosed the possible fraud earlier this year while it was being acquired by Oak Brook, Ill.-based Advocate Health Care. By disclosing the possible violations, Condell was able to negotiate a discounted settlement, and avoid a lawsuit under the federal False Claims Act and possible lengthy and costly litigation

The possible violations were connected to leasing of medical office space to physicians at rates below fair market value; improper loans to physicians; and hospital reimbursement to physicians who performed patient services without required written agreements.

Read the press release from the U.S. Attorney for Northern District of Illinois about the Condell settlement. (pdf)

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