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ARTICLE · 29 MARCH 2010

Increased Billing Audits Suggest Enhanced FCA Risk

The Obama administration's statements ratchet up the pressure on health systems to enhance case management and to prepare to defend against the rising wave of FCA investigations.

United StatesGovernment, Public Sector

The Obama administration's statements ratchet up the pressure on health systems to enhance case management and to prepare to defend against the rising wave of FCA investigations.

Recent news out of the Obama administration and the U.S. Department of Justice points toward new initiatives that will target health systems by requiring more billing and coding audits to identify Medicare overpayments for services rendered to patients. These audits, in turn, may prompt increased False Claims Act (FCA) exposure.

The media, including the Wall Street Journal, reported on March 10, 2010, President Obama's statement that the government would be pursuing more aggressive auditing of providers in order to recover overpayments. The recovery of overpayments is intended to trim health care costs and to counter critics of the health care reform effort. "President Orders Expanded Audits," Wall Street Journal, March 10, 2010. The president made specific reference to auditors

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