MARYLAND, USA — HyperHeal Hyperbarics, a hyperbaric oxygen therapy facility, has agreed to pay over $400,000 to settle false claims allegations.
HyperHeal agreed to pay $414,640.25 to settle the claims that the facility submitted false claims to the U.S. for physician services that weren't rendered, and for "medically unnecessary hyperbaric oxygen therapy," a press release said.
HyperHeal has multiple locations in Maryland. The settlement was announced Thursday by Robert Hur, U.S. Attorney for the District of Maryland, and Robert Craig, special agent in charge for the Defense Criminal Investigative Services, Mid-Atlantic Division.
According to the settlement agreement, from March 2013 to November 2014, HyperHeal, through its former president and part-owner, Eric Shapiro, prepared bills indicating that the therapy was supervised by a physician when it wasn't actually supervised by a physician, the release said.
During the same time, and for the same patient, HyperHeal also submitted claims to TRICARE for "medically unnecessary" hyperbaric oxygen therapy, the release said.
The release said no qualified professional evaluated the patient’s condition during the treatment. The release also said that Shapiro, a hyperbaric oxygen therapy technician, directed the patient’s treatment and got authorization "for continued treatment by sending misleading documents to TRICARE."
The settlement resolves a lawsuit brought forward by Lesa Schrum and Juliette Skelton, former employees of HyperHeal.
The lawsuit was filed in Maryland in 2016. It claims that HyperHeal and Shapiro submitted "or caused the submission of false claims" to the U.S. for hyperbaric oxygen therapy services that weren't medically necessary, properly supervised or for treatment that wasn't actually provided.
Schrum and Skelton will receive $74,635.25 as part of the settlement.
The release said the claims resolved by this settlement are allegations only. The settlement is not an admission of liability by HyperHeal, or "a concession by the United States that its claims are not well founded."
According to HyperHeal, the company is under new ownership and Shaprio is no longer employed by the company.
HyperHeal's CEO Michael Gendreau released a statement to WUSA9, reading:
"Hyperheal Hyperbarics, Inc. is cooperating with the Department of Justice in the government’s case against the company's former President and technician, Eric Shapiro. Hyperheal previously investigated and returned funds to Tricare based on Mr. Shapiro's conduct, which lead to Hyperheal removing Mr. Shapiro from leadership in the company and ultimately his termination from employment. Hyperheal remains committed to being on the forefront of hyperbaric oxygen therapy services, remains in good standing with all payers, and retains the highest quality accreditation in the industry."