Billing fraud investigation targets mental health hospitals
Five hospitals associated with a prominent Massachusetts mental health services provider are under investigation by the Department of Justice (DOJ) over accusations of billing fraud, according to a report in the Boston Globe.
The investigation, outlined in a report filed recently with the Securities and Exchange Commission, is targeting hospitals affiliated with Arbour Health System, which is owned by the largest psychiatric hospital and clinic provider in the U.S., Universal Health Services.
Universal said the DOJ informed them of the investigation involving “billings submitted to government payers in relation to services provided at those facilities” in December of last year. A recent filing from the company reports that at least 25 of their member hospitals could potentially be investigated.
Universal’s chief financial officer Steve Filton recently told analysts that the company has “cooperated fully with the government and [has] responded to all their requests,” adding “This certainly has been long already. But I also do not believe that it is necessarily in its end stages.”
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