Health Care Plan Agrees to Pay Over $500,000 As Part of Self-Disclosure of Potential False Claims Act Violations

DETROIT – United States Attorney Dawn N. Ison announced today that Commonwealth Care Alliance, Inc. (CCA) has agreed to pay $520,355.65 to resolve allegations that Reliance HMO, Inc., a company CCA acquired in 2022, violated the False Claims Act, 31 U.S.C. §§ 3729-3733, by providing cash payments to induce the referral of Medicare beneficiaries to enroll in Reliance’s Medicare Advantage Plan, in violation of the Anti-Kickback Statute, 42 U.S.C. § 1320a-7b(b)(2). CCA voluntarily self-disclosed the conduct to the U.S. Attorney’s Office, and the settlement acknowledges that CCA took significant steps, entitling it to credit for cooperating with the government’s investigation.

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