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VOL. 37 | NO. 13 | Friday, March 29, 2013

Prosecutor: Hospitals overcharged Medicare

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HARRISBURG, Pa. (AP) - Two hospital chains – one operated by Community Health Systems of Nashville – have agreed to pay a combined $1.5 million to resolve allegations that its facilities in eastern Pennsylvania submitted improper claims to the Medicare program.

U.S. Attorney Peter Smith said Wednesday that St. Luke's University Health Network and Easton Hospital, which is operated by Community Health Systems, billed the federal health insurance program for evaluation and management services that were not eligible for reimbursement.

Prosecutors say St. Luke's and Easton Hospital cooperated after being contacted by the government. St. Luke's has agreed to pay more than $1 million. Easton will pay more than $450,000.

St. Luke's operates hospitals in Bethlehem, Quakertown and Coaldale.