Shands Healthcare pays $26M to settle inpatient fraud allegations

Florida-based not-for-profit hospital operator Shands Healthcare has agreed to pay $26 million to the U.S. Department of Justice to settle fraud allegations. According to the Justice Department, Shands's management submitted claims to Medicare, Medicare and TRICARE for inpatient services when they should have been paid at the much lower outpatient rate. An independent contractor for Shands turned whistleblower against the hospital system. Meanwhile, Shands may still face an investigation for potential fraudulent billing for outpatient services. Article