ÐÇ¿ÕÈë¿Ú

Home Health & Hospice Week

Fraud & Abuse:

SEC Launches Home Care Therapy Investigation

Wall Street Journal article impact continues.

If you thought you had a good reason to mind your therapy p's and q's after the Senate Finance Committee announced an inquiry into home health therapy, now you have another one -- an investigation by the Securities and Exchange Commission.

Baton Rouge, La.-based Amedisys Inc. and Louisville, Ky.-based Almost Family Inc. have received subpoenas from the SEC regarding their provision of therapy. The investigation comes on the heels of a Wall Street Journal article highlighting the differences in therapy provision before and after the prospective payment system therapy changes that took place in 2008 and a subsequent Senate inquiry into the matter. The Senate investigation is still ongoing.

Lafayette, La.-based LHC Group Inc. and Atlanta-based Gentiva Health Services Inc. have not received SEC subpoenas, they say. But that didn't stop their stock from falling by double-digit percentages along with the subpoenaed companies' stock.

The SEC investigation may signal harsher scrutiny of home care therapy provision by other regulatory, enforcement, and payment authorities, experts predict. And it could translate to reimbursement changes down the road, thanks to resulting Medicare Payment Advisory Commission recommendations and congressional action.

Plus: Amedisys also faces a stockholder lawsuit over the matter.

Other Articles in this issue of

Home Health & Hospice Week

View All