A physical rehabilitation clinic with numerous offices in Macomb and Oakland counties has agreed to pay nearly $5 million to settle allegations that it participated in a fraudulent billing scheme, authorities said Wednesday.

U.S. Attorney Jerome F. Gorgon Jr. said Team Rehabilitation Services, also known as Team Rehab, will pay the money to resolve claims that it had violated the False Claims Act by submitting false claims for payment for physical therapy services to several federal healthcare programs.

“Improperly billing federal healthcare programs depletes valuable resources and erodes public trust,” Gorgon said in a news release. “This case is further proof that this office will continue to aggressively root out fraud, waste, and abuse in our healthcare system.”

The Macomb Daily has reached out to Samuel R. Simkins, Team Rehab’s listed attorney, for comment.

Federal prosecutors stressed the claims resolved by the settlement are allegations only as there has been no determination of liability. Court records on the case have been sealed from the public.

Team Rehab “knowingly” submitted false claims, feds say

According to the news release, healthcare providers charge services to federal healthcare programs using Current Procedural Terminology (CPT) codes.

Officials said some CPT codes are time-based, whereby the provider bills based on the amount of time spent delivering a service to the patient.

In addition, some CPT codes are only appropriate where the provider is...

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