HealthSouth Receives 7 Additional Subpoenas From DOJ

The Department of Justice has issued seven more subpoenas to Birmingham, Ala.-based HealthSouth's hospitals in connection with a Medicare fraud investigation.

In March of last year, HHS' Office of the Inspector General issued subpoenas to four of HealthSouth's hospitals, and on April 24, the DOJ issued subpoenas to four more of HealthSouth's hospitals and supplemental subpoenas to two of the hospitals previously subpoenaed by the OIG, according to the regulatory filing.

All of the subpoenas issued relate to the DOJ's investigation of HealthSouth for Medicare fraud. The subpoenas request documents relating to certain pre-admission and post-admission practices at the hospitals and compliance with the Medicare "60 percent rule" that requires inpatient rehabilitation hospitals to treat at least 60 percent of their patients for specified medical conditions in order to receive inpatient rehabilitation hospital payment rates, rather than lower acute-care hospital payment rates, according to the regulatory filing.

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