Billing consultant Accordis, New York, has agreed to pay $1.3 million in perhaps the first False Claims Act settlement involving abortion services. During the 1990s in a third-party billing contract with the Los Angeles County Department of Health Services, Accordis allegedly knowingly installed "default" diagnostic codes to obtain federal reimbursement for abortion services. The company was paid based on the money it recovered from third-party payers, including Medicare and Medicaid, federal prosecutors in New York said. Because Accordis is based in New York City, the state had jurisdiction over the case. Accordis did not admit wrongdoing in the settlement. The allegedly falsified diagnoses led California's Medicaid program, Medi-Cal, to unknowingly submit illegal claims to the CMS. Federal law prohibits federal funds from being used to pay for abortions in most cases. A whistleblower lawsuit was filed in 2002 in U.S. District Court in New York by a former marketing vice president at a predecessor company of Accordis. -- by Mark Taylor
Consultant Accordis settles abortion billing case
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