Riverdale hospital settles false claims case

Dubuis Health System and Southern Crescent Hospital for Specialty Care Inc. have agreed to pay $8 million to settle allegations they submitted false claims to Medicare, the Justice Department said.

Dubuis manages long-term, acute care hospitals in several states, including the Southern Crescent facility in Riverdale. From 2003 to 2009, Dubuis and Southern Crescent kept patients hospitalized beyond the time considered to be medically necessary to increase Medicare reimbursements and maintain Southern Crescent’s classification as a long-term acute care hospital, according to the allegations.

The whistle-blower in the case, former Southern Crescent administrator Darlene Tucker, will receive $2.16 million of the U.S. government’s recovery, said the Justice Department, which noted the claims were settled before any determination of liability was made.