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7 hospitals in NY accused of $50M Medicaid fraud
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Digg Facebook Newsvine del.icio.us Reddit StumbleUpon Technorati Yahoo! Bookmarks Print By VALERIE BAUMAN, Associated Press Writer Valerie Bauman, Associated Press Writer Mon Jan 5, 8:05 pm ETALBANY, N.Y. Four hospitals in New York state paid kickbacks to get more patients into their drug treatment programs, which billed Medicaid for services that weren't standard or necessary and lacked state certification, lawsuits allege.
Another hospital paid people to search homeless shelters and other places for patients to enter a three-day stay in detox in exchange for cigarettes, beer, food, and other items, according to the lawsuit brought by state Attorney General Andrew Cuomo and U.S. Attorney Benton Campbell.
The lawsuits allege those five hospitals and two others fraudulently billed Medicaid for more than $50 million in more than 14,000 different claims.
Both attorneys' offices declined to say why they didn't pursue criminal charges. In both investigations, former hospital employees notified authorities of the issues, dating to 2002.
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