Unnamed Opioid Abuse Treatment Facility (Camden, NJ)
Outcome
Camden opioid treatment facility settled for $3.15 million for causing kickbacks to referral sources, obstructing a federal audit, and fraudulently billing Medicaid.
Details
Opioid Treatment Facility (Camden, NJ) — Kickbacks, Audit Obstruction, Medicaid Fraud
Outcome: Settled for $3.15 million to resolve criminal and civil claims for causing kickbacks to referral sources, obstructing a federal audit, and fraudulently billing Medicaid.
A Camden, New Jersey opioid abuse treatment facility agreed to pay $3.15 million to resolve a multi-violation enforcement action combining three serious compliance failures: (1) causing kickbacks to patient referral sources, likely by paying marketers or referring providers for opioid treatment patient referrals; (2) obstructing a federal audit — an especially serious aggravating factor that suggests the facility actively interfered with government oversight; and (3) fraudulently billing Medicaid for treatment services.
The obstruction of a federal audit is particularly notable — it reflects a deliberate attempt to prevent auditors from discovering the underlying kickback and billing fraud, and it converted what might have been a civil settlement into criminal and civil combined action. The U.S. Attorney's Office for the District of New Jersey announced the settlement December 5, 2022.
How Crucible Prevents This
Crucible's anti-kickback, audit-cooperation, and claims-integrity enforcement hooks together address all three violation types; audit obstruction is particularly significant — Crucible's compliance program audit-readiness gate would ensure documentation is maintained and accessible, preventing the type of obstruction that elevated this case's penalty.
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