On Thursday, January 12, 2017, Connecticut based Family Care Visiting Nurse and Home Care Agency, LLC (Family Care VNA) and its owners David A. Krett and Rita C. Krett, R.N., B.S.N. agreed to pay $5.25 million to resolve allegations that they violated the federal and state False Claims Acts by fraudulently billing Medicaid for home health services.

Specifically, the case involved the billing of 60-day health assessments, a service that re-certifies patients for another 60-day period of home health care and must be performed by a registered nurse.  The case alleged that Family Care VNA, with the knowledge and at direction of its owners, regularly billed Medicaid for 60-day health assessments when a registered nurse did not provide the assessments as required by Medicaid.  The case also alleged that Family Care VNA, with the knowledge of its owners, submitted claims to Medicaid for patients who were or may have been dually eligible for Medicare and Medicaid, without first following required procedures for submitting claims to Medicare.

To settle these allegations, Family Care VNA, David Krett and Rita Krett have paid $5,253,908.54, which covers the time period from January 1, 2009 through April 30, 2016.  Family Care, VNA, David Krett and Rita Krett also have entered into a Corporate Integrity Agreement with the Office of Inspector General for the U.S. Department of Health and Human Services.

“Home Health Care providers and other providers who fraudulently bill the Medicaid program drive up the cost of health care for all of us,” said U.S. Attorney Deirdre M. Daly for the District of Connecticut. “The U.S. Attorney’s office is committed to working with our state counterparts to vigorously pursue health care providers that submit fraudulent claims to government health care programs.”

For more information on home health fraud, click here.