Continuum Healthcare Executives Sentenced to Prison for Health Care Fraud Scam

On April 23, 2021 The United States Department of Justice Southern District of Texas issued a press release concerning the Continuum Healthcare PHP scam which cost taxpayers $66 Million dollars.

"Four executives of Continuum Healthcare and its various health centers have been ordered to federal prison for a massive scam perpetrated in the Houston area, announced Acting U.S. Attorney Jennifer B. Lowery."

October 30, 2019 press release from the Department of Justice shows that 14 other individuals were also charged and convicted in direct relation to this case.

"all 14 charged in the scam involving Continuum Healthcare and its various health centers have been convicted, announced U.S. Attorney Ryan K. Patrick."

"In 2010, Continuum opened Westbury Community Hospital with Hornwood and Baytown becoming outpatient centers and continuing to operate their existing PHPs under the Westbury name. Westbury also opened a PHP."

"Rouse, Houseworth, Edson and Parsons were responsible for the day-to-day operation of Continuum/Westbury and were involved in the implementation of the various kickback programs. Numerous people were referred for treatment in exchange for payment. However, the vast majority did not qualify for PHP services, because they were not experiencing an acute psychotic episode or were actually suffering from mental retardation, dementia or Alzheimer’s."

"Aretha Johnson, Pace, Bobino, Waller, Browning and Davis each owned personal care homes in Houston, while Ernestine Johnson, Harris, Lacy and Turner were marketers for Continuum. Each admitted receiving payment to refer the patients, receiving amounts ranging from $130,000 t0 $2.6 million each."

"In total, Continuum billed Medicare approximately $189 million in total for fraudulent PHP services and Medicaid paid approximately $66 million on those clams."

Sources:
https://www.justice.gov/usao-sdtx/pr/final-defendant-convicted-189-million-health-care-fraud-scam

https://www.justice.gov/usao-sdtx/pr/final-four-sentenced-189m-health-care-fraud-scam

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