Intrepid U.S.A. Inc. to Pay $3.85 Million in Medicare Fraud Settlement

Intrepid U.S.A. Inc., a Dallas-based home healthcare and hospice provider, has agreed to pay $3.85 million to settle allegations of violating the False Claims Act. The U.S. Department of Justice announced the settlement on Tuesday, August 20, 2024.

The allegations against Intrepid and its subsidiaries were twofold. First, the company was accused of knowingly submitting false claims to Medicare for home healthcare services for patients who either did not qualify for the benefit or where services did not meet Medicare reimbursement criteria. Second, Intrepid allegedly submitted claims for hospice care for patients who were ineligible for the Medicare hospice benefit.

The fraudulent activities reportedly occurred between 2016 and 2021, involving 19 Intrepid home healthcare facilities and three hospice facilities. The settlement amount was determined based on Intrepid's ability to pay.

Principal Deputy Assistant Attorney General Brian M. Boynton emphasized the importance of protecting Medicare's hospice and home healthcare benefits, stating that the settlement "reflects our commitment to ensuring that these benefits are used to care for those who need them and not just to enrich those who seek to provide them."

The case came to light through two separate whistleblower lawsuits filed under the qui tam provisions of the False Claims Act. The whistleblowers, former employees of Intrepid, will receive a combined total of $692,999 from the settlement proceeds.

This settlement underscores the ongoing efforts of the U.S. government to combat healthcare fraud. The Department of Health and Human Services Office of Inspector General encourages the public to report potential fraud, waste, abuse, and mismanagement to their hotline at 800-HHS-TIPS.

The resolution of this case was a collaborative effort between the Justice Department's Civil Division, the U.S. Attorney's Offices for the Western District of Kentucky and the District of Minnesota, and the Department of Health and Human Services Office of Inspector General.

This settlement serves as a reminder of the serious consequences facing healthcare providers who engage in fraudulent billing practices, potentially compromising the care of vulnerable patients and the integrity of federal healthcare programs.

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