GREENFIELD — The U.S. Attorney’s Office has filed a joint complaint with the state Attorney General’s Office under the federal and Massachusetts False Claims Acts against 19 skilled nursing facilities in Massachusetts and Connecticut owned by the health care company RegalCare, which operates a rehabilitation clinic on Laurel Street.
The complaint alleges that RegalCare, at the direction of its owner Eliyahu Mirlis and an executive, Hector Caraballo, fraudulently caused the submission of claims to Medicare and Medicaid for “medically unreasonable and unnecessary services” to patients of RegalCare’s nursing facilities. The scheme allegedly resulted in millions of dollars in damages to the Medicare and Medicaid programs.
“As alleged, these defendants drained Medicare and Medicaid of millions of dollars and put vulnerable patients at risk — making them undergo unnecessary, and sometimes painful, services,” U.S. Attorney Leah Foley said in a statement. “When facilities prioritize profits over patient well-being, they endanger those in their care and undermine the integrity of our health care system. This office will continue to hold accountable those who exploit federal health care programs at the expense of patients and taxpayers alike.”
According to the complaint, RegalCare, at Mirlis’ direction, “systematically caused Medicare to be billed for the highest level of skilled rehabilitation therapy services” despite patients not clinically needing those services.
“Caraballo...
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