Carter Healthcare, former execs to pay $30M in DOJ settlements over false claims

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Home healthcare provider Carter Healthcare and its former chief executive officer and chief operations officer agreed to pay more than $30 million total under two settlements alleging the parties engaged in kickbacks to doctors and filed false claims.

In each case settled Tuesday, the Department of Justice (DOJ) charged Carter Healthcare, also known as CHC Holdings, with violating the False Claims Act. Both cases were initially brought in qui tam lawsuits by private individuals suing on behalf of the U.S. government.

Carter Healthcare and the executives agreed to pay a total of $22.9 million to settle a lawsuit originally filed in 2017 in U.S. District Court for the Western District of Oklahoma. The suit alleged between 2013-20, Carter Healthcare CEO Stanley Carter and COO Brad Carter arranged for payments to certain medical directors in Oklahoma and Texas who referred their Medicare or TRICARE patients to the company.

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