July 9, 2001  American HomePatient Inc.

American HomePatient Inc. and an affiliate have agreed to pay $7 Million Dollars to settle allegations asserted in a qui tam action filed by Kenneth Hollis, a former employee. The allegations of the case were that the companies submitted false claims to Medicare, Medicaid and TRICARE. The companies allegedly submitted claims which indicated that they provided medical services to patients which were medically necessary, duly ordered by the patients’ physicians and properly delivered on the dates specified when, in fact, the documents were either false or otherwise inadequate to support the service billed to the government.

As part of the settlement, Mr. Hollis will receive over $1.1 Million Dollars for having filed the qui tam case.

See U.S. Dept of Justice Press Release 7/9/01

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