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Medical supplier Hill-Rom makes $42M fraud settlement

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Hill-Rom Holdings Inc., a medical-equipment company based in Indiana, agreed Tuesday to pay nearly $42 million to settle a government lawsuit that alleged Medicare fraud.

The government had accused the company of knowingly submitting false claims to Medicare from 1999 to 2007 for bed support surfaces meant to treat pressure ulcers and bedsores. According to the charges, Hill-Rom asked "numerous and repeated" times for payment from Medicare for patients who no longer qualified for it, including patients who had died or were no longer using the equipment.

According to the charges, Hill-Rom would automatically bill Medicare for "long periods of time," "without making any reasonable effort to determine if the patients for whom it submitted the claims continued to meet Medicare conditions for payment."

Hill-Rom denied wrongdoing.

"Hill-Rom is dedicated to the highest standards of business conduct and integrity," the company said in a statement. "We vigorously disagree that there was any wrongdoing in this situation and this settlement does not represent any admission on our part."

The investigation into Hill-Rom's Medicare billing practices by the U.S. attorney's office in Knoxville, Tenn., began as a result of allegations brought by two Hill-Rom employees.

Laurie Salmons and Lisa Brocco, both trained nurses who  were sales representatives for Hill-Rom, filed an action on behalf of the United States under the whistle-blowe provisions of the federal False Claims Act.

Under the terms of the settlement agreement, Salmons and Brocco will get more than $8 million from the proceeds of the settlement for filing the complaint and assisting with the investigation.

Hill-Rom shares rose 3.6 percent on Tuesday, to $31.29 each, as investors reacted favorably to the finalization of the settlement.

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  1. Now if he'd just stay there...

  2. Daniel - what about the many US citizens who do NOT follow what the Bible teaches? The Hindus, Jews, Muslims and others who are all American citizens entitled to all rights as Americans?? This issue has NOTHING to do with "What the Bible says..." Keep all Churches separate from State! Pence's ongoing idiocy continues to make Indiana look like a backwards, homophobic state in the eyes of our nation. Can't we move on to bigger issues - like educating our kids?

  3. 1. IBJ should link to the referenced report. We are in the age of electronic media...not sharing information is lazy. Here is a link http://www.in.gov/gov/files/Blue_Ribbon_Panel_Report_July_9_2014.pdf 2. The article should provide more clarity about the make-up of this panel. The commenters are making this item out to be partisan, it does not appear the panel is partisan. Here is a list of the panel which appears to be balanced with different SME to add different perspectives http://www.in.gov/activecalendar/EventList.aspx?view=EventDetails&eventidn=138116?formation_id=189603 3. It suggests a by-pass, I do not see where this report suggests another "loop". 4. Henry, based on your kneejerk reaction, we would be better off if you moved to another state unless your post was meant as sarcasm in which case I say Well Done. 5. The article and report actually indicates need to improve rail and port infrastructure in direct contradiction to Shayla commentary. Specifically, recommendation is to consider passenger rail projects... 6. People have a voice with their elected officials. These are suggestions and do not represent "crony capitalism", etc. The report needs to be analyzed and the legislature can decide on priorities and spending. Don't like it, then vote in a new legislature but quit artificially creating issues where there are none! People need to sift through the politics and provide constructive criticism to the process rather than making uninformed comments in a public forum based on misinformation. IBJ should work harder to correct the record in these forums when blatant errors or misrepresentations are made.

  4. Joe ... Marriage is defined in the Bible ... it is mentioned in the Bible often. Marriage is not mentioned once in the US or Indiana Constitution ...

  5. Daniel - Educate me please: what does the Bible have to do with laws? If the government wasn't in the business of marriage to begin with, then it wouldn't have to "define" marriage at all. Marriage could be left as a personal, religious, or otherwise unregulated action, with no ties to taxes, legal status, etc. Then people could marry whomever they want, and all this silliness would go away. Remember to vote Libertarian in November.

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