The Senate today approved an amendment to the health care overhaul bill that includes provisions to fight fraud.
Patrick Leahy (Getty Images)
The Senate voted 60-39 on a manager’s amendment from Senate Majority Leader Harry Reid (D-Nev.) that would incorporate elements of the Health Care Fraud Enforcement Act into the health care bill. Sen Ted Kaufman (D-Del.), a Judiciary Committee member, introduced the fraud legislation as a stand-alone bill in October.
Sen. Patrick Leahy (D-Vt.), a co-sponsor of the fraud bill, said in a floor statement yesterday that health care scammers have driven up the cost of medical care. The Judiciary Committee chairman said the manager’s amendment gives prosecutors the resources needed to effectively combat health care fraud.
“These changes will strengthen our ability to crack down on fraud and will ultimately result in significant savings that will make health care more efficient and more affordable,” Leahy said.
Here are some of the key provisions:
– Increased penalties in federal sentencing guidelines. “Despite the enormous losses in many health care fraud cases, offenders often receive shorter sentences than other white collar criminals,” Leahy said. He added: “By increasing the federal sentencing guidelines for health care fraud offenses, we send a clear message that those who steal from the nation’s health care system will face swift prosecution and substantial punishment.”
– Anti-kickback statute changes. “The manager’s amendment also includes our provision amending the anti-kickback statute to ensure that all claims resulting from illegal kickbacks are considered false claims for the purpose of civil action under the False Claims Act, even when the claims are not submitted directly by the wrongdoers themselves,” Leahy said. “All too often, health care providers secure business by paying illegal kickbacks, which needlessly increases health care risks and costs. This change will help ensure that the government is able to recoup from wrongdoers the losses resulting from these kickbacks.”
– Limited Justice Department subpoena powers for civil rights probes int0 certain medical institutions. “This provision allows the government to more effectively investigate conditions in publicly operated institutions, such as nursing homes, mental health institutions, and residential schools for children with disabilities, where there have been allegations of civil rights violations,” Leahy said.
We reported in October that Assistant Attorney General Tony West urged members of the Senate Judiciary Committee to approve health care fraud legislation.
In May, the Justice and Health and Human Services departments launched the Health Care Fraud Prevention and Enforcement Action Team to fight Medicare and Medicaid fraud.
