Extendicare agrees to historic $38 million settlement related to unnecessary therapy, worthless services chargesOctober 14, 2014
Extendicare Health Services Inc. and its subsidiary therapy company have agreed to pay $38 million to settle therapy overbilling and quality of care whistleblower charges, federal and state authorities announced Friday. They said it is the largest such "failure of care" settlement in Department of Justice history.
Extendicare, a major North American long-term care operator, may sell off its 158 U.S. facilities before the end of the year. The company's move to separate its Canadian and U.S. businesses could strike an ominous note to other providers as the Affordable Care Act speeds toward full implementation.