Iowa hospital settles disputes with feds - KWWL - Eastern Iowa Breaking News, Weather, Closings

Iowa hospital settles disputes with feds

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SIOUX CITY (KWWL) - A Sioux City hospital has agreed to pay the federal government $400,000 to settle allegations of inflating charges for patients' care.

It was alleged Mercy Medical Center inflated charges for Medicare, Medicaid, Tricare and Federal Employees Health Benefits Program heart patients. According to federal prosecutors, the hospital inflated charges to obtain additional reimbursement from those federal health care programs.

The government alleged Mercy inflated its charges for certain inpatient heart procedures in a period between March 1999 and August 2003.

The government also claimed that from 2003 to 2006 Mercy submitted false and misleading statements involving Medicare and Medicaid cost reports for Oakland Memorial Hospital in Oakland, Neb.

In the settlement, Mercy denied any wrongdoing but agreed to make the $400,000 payment to settle the claims.

Online Reporter:  Bob Waters

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