Daily News | Camden addiction clinic to pay millions in settlement over alleged kickback scheme
A Camden addiction clinic has agreed to pay the federal government $3.15 million in civil and criminal penalties to settle a federal case alleging that it made money illegally through a kickback scheme with another company providing methadone medication for its patients.
Federal officials said the clinic allegedly ran a kickback scheme with the company that mixed its methadone doses for patients between 2009 and 2015 and submitted false information to get paid for its services by Medicaid, a government health care program for people with low incomes and disabilities.
Federal authorities also allege that CTA committed fraud during an audit of its Medicaid claims in 2016. Among other allegations, the treatment center purportedly added signatures and different credentials for staff listed on medical files. As part of the settlement, CTA will agree to pay an independent consulting firm to review its compliance with federal health care law, and create an independent board of advisors to do the same. It must also provide the government with written reports on its progress every six months for the next three years.
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