Adams said the business’s cost reports, which are required to be provided by long-term care facilities for payment by Nebraska Medicaid, used false numbers that led to the payment of $3 million above the approximately $30 million it should have received for the operation of the Nebraska Cottonwood nursing homes.
4 nursing homes in receivership face closure
4 more financially troubled nursing homes likely to close
The company now is accused of making false records, failing to maintain documentation and fraudulent misrepresentation, which resulted in payments to which it wasn’t entitled.
“As a result of the defendants’ breach of their agreements with Medicaid, the plaintiff suffered damages in the amount of $59,652,388.90,” the attorney said in the lawsuit.
Violations of the False Medicaid Claims Act are subject to up to three times damages and up to a $10,000 penalty per claim submitted.
Adams said in addition to the $59.6 million amount, Nebraska is seeking treble damages of $178,957,167, plus attorney fees.
In December, 61-year-old Joseph Schwartz, of Brooklyn, was charged in Arkansas with eight counts of Medicaid fraud for the alleged overbilling there that resulted in an overpayment of $3.6 million for the eight nursing home facilities.
Another nursing home under state control will be closing in May
Nursing homes in Crete, Fremont and West Point to close
Top Journal Star photos for January
Top Journal Star photos for January
Nebraska softball team practices at Bowlin Stadium, Wednesday, Jan. 12, 2022. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
York’s Austin Phinney (left) and Norris’ Myles Hoehne compete for a rebound during the second half of a high school basketball game, Tuesday, Jan. 18, 2022, at Norris Middle School. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
Norris players, including Sage Burbach (third from left), celebrates a point against York during the second half of a high school basketball game, Tuesday, Jan. 18, 2022, at Norris Middle School. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
Chris Mohler of Omaha visits Peter Pan Skate Park on a warm Tuesday afternoon, Jan. 18, 2022. Though Lincoln saw a warm up reaching 59 degrees on Tuesday, colder temperatures will return in the coming days. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
Nebraska’s Alonzo Verge Jr. goes up for a layup against Indiana’s Trayce Jackson-Davis at Pinnacle Arena, Monday, Jan. 17, 2022. SAVANNAH HAMM, Journal Star
SAVANNAH HAMM, Journal Star
Top Journal Star photos for January
The Belmont Scholars, including fifth grader Yusur Almahdi (second from right), perform the “Teachers March” at the Rev. Dr. Martin Luther King Jr. Youth Rally and March on Monday, Jan. 17, 2022, at the Nebraska Union. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
Millard North’s David Harmon guards Lincoln Northeast’s Jalen Lang as he pushes towards the basket at Lincoln Northeast high school, Saturday, Jan. 15, 2022. SAVANNAH HAMM, Journal Star
SAVANNAH HAMM, Journal Star
Top Journal Star photos for January
Teacher Emily Lostroh talks with fourth grader Anthony Vu at Campbell Elementary School, Friday, Jan. 14, 2022. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
Falls City Sacred Heart’s Jake Froeschl fights to maintain possession of the ball from Palmyra’s Drew Erhart at Beatrice Municipal Auditorium, Thursday, Jan. 13, 2022. SAVANNAH HAMM, Journal Star
SAVANNAH HAMM, Journal Star
Top Journal Star photos for January
Gov. Pete Ricketts makes a thumbs up after delivering his annual State of the State address at Nebraska State Capitol, Thursday, Jan. 13, 2022. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
Kathryn Slattery, pastry chef at Art & Soul, frosts her signature carrot cake on Wednesday, Jan. 12, 2022. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
Pius X wrestlers Sam Andres (left) and Luke Andres pose for a portrait, Wednesday, Jan. 12, 2022. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
Firefighters respond to a car crashed into the Holiday Inn Express on 9th and O Streets, Wednesday, Jan. 12, 2022. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
Nebraska’s Keisei Tominaga celebrates his three-point shot against Illinois during the first half basketball action, Tuesday, Jan. 11, 2022, at Pinnacle Bank Arena. JUSTIN WAN, Journal Star
JUSTIN WAN, Journal Star
Top Journal Star photos for January
Nebraska’s Isabelle Bourne drives to the basket against Michigan on Jan. 4, 2022. Photo by Jeremy Buss for the Journal Star.
Top Journal Star photos for January
Sen. Tom Brewer reads legislation on the first day of the legislative session on Wednesday, Jan. 5, 2022, on the floor of the Legislature. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
Salmon risotto is on the menu at Ollie & Hobbes, 2940 Pine Lake Road. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
A squirrel finds a snack on a cold day at Holmes Lake on Thursday, Jan. 6, 2022. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
The remains of a building at Vogt Construction, 11811 Roca Road, smolder on Thursday, Jan. 6, 2022. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
Waverly’s Preston Harms (3) shoots over the Norris defense in a game on Thursday, Jan. 6, 2022, at Waverly High School. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
Waverly’s Anna Clarke (15) protects the ball as Norris’s Gracie Kircher (25) tries to steal on Thursday, Jan. 6, 2022, at Waverly High School. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
Nebraska Game and Parks mascot Kit the Raccoon looks on as Kathryn Romine celebrates winning the grand prize travel trailer in the Your Parks Adventure contest on Friday, Jan. 7, 2022, at Mahoney State Park. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
Lincoln Southwest junior Daniel Turner will deliver a monologue from the movie “Just Mercy” at the annual Martin Luther King, Jr. Youth Rally and March. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Top Journal Star photos for January
Nebraska battles Iowa’s Sharon Goodman for a loose ball against Iowa on Sunday, Jan. 10, 2022. Photo by Jeremy Buss for the Lincoln Journal Star.
Top Journal Star photos for January
Aria Ferreira of Lincoln, 5, plays in a sea of bubbles during Make Believe Midnight at Lincoln Children’s Museum, Friday, Dec. 31, 2021. Instead of featuring balloons drops, the museum switched to using bubbles this year to celebrate New Year’s Eve. JUSTIN WAN, Journal Star
JUSTIN WAN Journal Star
Top Journal Star photos for January
Kelsey Slauson (L) and Terry Twaddell, co-owners of Zen Llama, work in the disc golf store on Tuesday, Jan. 4, 2022, in the College View neighborhood. GWYNETH ROBERTS, Journal Star
GWYNETH ROBERTS, Journal Star
Reach the writer at 402-473-7237 or lpilger@journalstar.com .
On Twitter @LJSpilger