Turning Point, parent company to pay out $122 million in settlement

Published 8:36 pm Thursday, July 16, 2020

MOULTRIE, Ga. — The parent company of Turning Point Care Center in Moultrie, Universal Health Services Inc. and its related entities agreed to pay $122 million to settle U.S. Department of Justice investigations.

As Turning Point is one of those entities, it alongside its parent company and UHS of Delaware, Inc. will pay the combined total of the settlement to resolve “alleged violations of the False Claims Act for billing for medically unnecessary inpatient behavioral health services, failing to provide adequate and appropriate services, and paying illegal inducements to federal healthcare beneficiaries.”

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$117 million of the settlement will be paid by the parent company, the DOJ announced July 10 while referencing a separate settlement Turning Point Care Center is involved in. The other $5 million of the penalty is specific to the Moultrie mental health facility.

Turning Point is slated to pay the U.S. and the State of Georgia $5 million “to resolve allegations that it provided free or discounted transportation services to induce Medicare and Medicaid beneficiaries to seek treatment at Turning Point’s inpatient detoxification and rehabilitation program or intensive outpatient program,” according to a DOJ press release.

The DOJ alleged that Turning Point did so from January 2007 to May 1, 2019.

“Illegal inducements should never play a role in a patient’s decision regarding treatment, especially when a patient is seeking care for addiction and other behavioral needs,” Byung J. Pak, U.S. attorney for the northern district of Georgia, said in the statement.

However, this settlement doesn’t prove a legal finding of improper conduct or failure to provide improper treatment. Rather, it’s a resolution, Turning Point CEO Judy Payne said in a release.

This settlement will also settle a qui tam — whistleblower — action filed by Mark Heatley, who was an associate administrator at Turning Point from June to December 2017.  

This provision under the False Claims Act permits private parties to file suit for false claims on behalf of the United States and to share in any recovery.

Specifically, the case was named United States ex rel. Heatley v. Turning Point Care Center LLC, et al.

“UHS and Turning Point unequivocally disputes any allegation that it engaged in wrongdoing of any kind and the agreement is not an admission of liability but merely a resolution of a civil claim,” the hospital’s release read. “UHS was eager to resolve this matter to avoid future distractions and the high costs of litigation.”

This, according to the release, was done to keep UHS’ facilities focused on providing care to patients.

“Notwithstanding, Turning Point denies that it was liable under the False Claims Act and believes that all of its actions were in compliance with laws and legal requirements,” the July 14 press release read.

Because of the qui tam Heatley will be receiving a share of the settlement.

According to the DOJ press release, Heatley, or the “whistleblower,” will receive $861,853.64, from the federal share of the Turning Point settlement.

Of the $117 million, the federal government will receive $88,124,761.27, while $28,875,238.73 will be returned to individual states to jointly fund the state Medicaid programs.