Policy & Procedure
Preventing, Detecting and Reporting Fraud & Abuse
Federal & State False Claims Acts
Policy Statement: The following policy enacted by Alternative Home Care Specialists, Inc. (AHCS) is intended to educate all employees and managers on preventing, detecting and reporting fraud and abuse, as is required by federal and state laws and regulations. All employees and managers are required to adhere to this policy and conduct themselves in an ethical manner while conducting all business activity.
Fraud is defined as the intentional deception or misrepresentation made by a person with the knowledge that the deception could result in some unauthorized benefit to himself or some other person.
Federal and State False Claims Acts Prohibit:
- Knowingly presenting a false claim for payment or approval.
- Knowingly engaging in misrepresentation to obtain or attempt to obtain payment from medical assistance programs.
- Conspiring to defraud the medical assistance programs through misrepresentation or by obtaining payment for a false or fraudulent claim.
- Knowingly submitting a claim for services or supplies which were medical unnecessary or which were of substandard quality.
Practical Examples of false claims:
- Documenting hours worked other than actual hours and for billing for services that were not delivered.
- Employees or participants signing timesheets with the knowledge that the hours worked are not correct.
- Billing for unnecessary services.
- Knowingly providing inaccurate data on a cost report.
You have a responsibility to report. All employees and contractors are required to report suspected o confirmed fraud immediately to a manager.
Alternative Home care will investigate and take the proper actions per this policy to investigate and report to the proper authorities all fraud and abuse.
Whistleblower Protections:
- All employees that report suspected or confirmed fraud will be kept anonymous and are protected as whistleblowers.
- Whistleblowers cannot be discharged, demoted, suspended, threatened, harassed or discriminated against in any manner.
- Whistleblowers my bring civil suit on behalf of the government for violations of federal and state false claims acts. The government will choose whether or not to intervene in the case. If successful the private citizen may be eligible to receive a portion the funds recovered. If the civil suit is determined to be frivolous or brought primarily for harassment, the whistleblower may be forced to pay all court fees.
Procedures to detect and prevent fraud and abuse:
- All timesheets are verified by both the employee and the consumer (or the participant's representative).
- All notes are matched to the corresponding timesheet. Discrepancies are investigated prior to the employee being paid for the time worked and before the service is billed by Medicaid.
- The payroll department checks for overlapping shifts. Furthermore, our billing software will not allow an overlap in billing.
- When Case Managers make regular home visits, they ensure that timesheets and notes are not completed in advance.
- If at any time fraud is suspected and unannounced drop-in visit is made to the participant’s home.
- Management investigates all reports of fraud and abuse immediately and the appropriate actions are taken in accordance with this policy.
Consequences for committing fraud:
- Immediate termination of employment.
- Arrest and prosecution by authorities.
- Penalties and fines.
- Employee is reported to professional boards.
- Loss of certification or license for the DSW, CNA, LPN, RN.
- Exclusion from any Medicaid business of five years.
- Fraud is reported to Medicaid.
Federal- Three times the defrauded amount and civil penalties not less than $5,500 and not more than $11,000 for each offense.
State- The amount defrauded and civil penalties not to exceed $10,000or three times the defrauded amount, whichever is greater.
Alternative Home Care action taken once fraud is confirmed.
- Employee is terminated and reported to Medicaid.
- If Medicaid has been billed for the fraudulent act Alternative Home Care immediately notifies Medicaid and completes the proper paperwork for the funds to be recouped.
Sources:
Federal False Claims Act - False Claims Act Resource Center https://www.falseclaimsact.com
Louisiana False Claims Act - False Claims Act Recourse Center https://www.falseclaimsact.com
Common Types of Fraud - False Claims Act Resource Center https://www.falseclaimsact.com
31 U.S. Code § 3802 - False claims and statements; liability http://www.law.cornell.edu/uscode/text/31/3802
Policy & Procedure Manual
Federal & State False Claims Acts – Fraud & Abuse
July 2011; Revised September 2014