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Corporate Integrity Agreement with Apria Healthcare Group, Inc. and Apria Healthcare LLC

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DOCUMENTS

AGREEMENT PRESS RELEASE

Acting Manhattan U.S. Attorney Announces $40.5 Million Settlement With Durable Medical Equipment Provider Apria Healthcare For Fraudulent Billing Practices

Published by the United States Department of Justice | View article on www.justice.gov

Apria Admits It Continued to Seek Reimbursement from Federal Programs When It Did Not Know If Patients Were Continuing to Use Their Non-Invasive Ventilator Rentals and After It Had Information Indicating That Patients Had Stopped Using Their Ventilators

Audrey Strauss, the Acting United States Attorney for the Southern District of New York, Scott Lampert, the Special Agent in Charge for the New York Office of the Inspector General of the U.S. Department of Health and Human Services ("HHS-OIG"), Patrick J. Hegarty, Special Agent in Charge of the Northeast Field Office of the U.S. Department of Defense - Office of Inspector General's Defense Criminal Investigative Service ("DCIS"), and Norbert E. Vint, Deputy Inspector General Performing the Duties of the Inspector General, Office of Personnel Management Office of the Inspector General ("OPM OIG"), announced today a $40.5 million settlement of a fraud lawsuit against Apria Healthcare Group, Inc. and its affiliate, Apria Healthcare LLC (together, "Apria"), a large durable medical equipment ("DME") provider with approximately 300 branch offices located throughout the United States. The lawsuit alleges, among other claims, that Apria submitted false claims to federal health programs, including Medicare and Medicaid, seeking reimbursement for the rental of costly non-invasive ventilators ("NIVs") to program beneficiaries who were not using the NIVs such that the devices were not medically necessary or that involved the improper waiver of patient co-insurance payments.

ENFORCEMENT ACTIONS

Attorney General Moody Announces Multimillion-Dollar Recovery Following Investigation into Assisted Breathing Device Rentals

Penalty Amount: $0

Filed under: State Enforcement Agencies

TALLAHASSEE, Fla. – Attorney General Ashley Moody, working with state and federal partners, is securing more than $40 million following a nationwide investigation. Attorney General Moody's Medicaid Fraud Control Unit worked with the U.S. Department of Justice and other state MFCUs to investigate false Medicaid claims made by Apria Healthcare Group Inc. and Apria Healthcare LLC. There are more than 300 Apria branch offices across the nation, including Florida. According to the federal-state investigation, Apria submitted false claims to state Medicaid programs for the ongoing rental of non-invasive ventilators that Medicaid beneficiaries either did not use or medical professionals deemed not medically necessary.

Attorney General Becerra Announces $40 Million Nationwide Settlement with Apria Healthcare

Penalty Amount: $0

Filed under: State Enforcement Agencies

SACRAMENTO – California Attorney General Xavier Becerra today announced a $40 million nationwide settlement with Apria Healthcare Group, Inc. and Apria Healthcare LLC (together, Apria) resolving allegations that the respiratory services provider violated the Federal False Claims Act (FCA), along with numerous state anti-fraud laws by seeking Medicaid reimbursement for ventilation machines that were not medically necessary or reasonable. Of the $40 million nationwide settlement, $4,812,000 relates to violations of Medicaid laws. California's share of the Medicaid-related settlement is $206,338.30.

Apria Agreed to pay $75,000 for Allegedly Violating the Civil Monetary Penalties Law by Employing an Excluded Individual

Penalty Amount: $0

Filed under: CIA Reportable Events

After it self-disclosed conduct to OIG pursuant to their CIA, Apria, headquartered in Indianapolis, Indiana, agreed to pay $75,617.18 for allegedly violating the Civil Monetary Penalties Law. OIG alleged that Apria employed an individual that it knew or should have known was excluded from participation in Federal health care programs.