Gibson City hospital to pay $292K over healthcare fraud claims

GIBSON CITY, Ill. (WAND) – A local hospital will pay about $292,000 to resolve allegations claiming it failed to return overpayments it received.

Prosecutors said Gibson Area Hospital in Gibson City took in these overpayments between March 9, 2014 and March 24, 2020 from Medicare, Medicaid and other government programs. The hospital was accused of violating the False Claims Act by failing to return the money.

The hospital was accused of knowingly retaining the overpayments pursuant to alleged practices of keeping overpayments that were under $10, were over one year old, were duplicate payments, were improperly applied toward separate claims, and/or were payments for which the payer had not requested a refund three times.

The United States will receive about $208,000 in the settlement, while the State of Illinois will take in about $84,000.

Source: Gibson City hospital to pay $292K over healthcare fraud claims / WAND TV

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