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Southern Colorado medical clinic pays settlement amid false claims allegations

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WASHINGTON (KRDO) -- A Southern Colorado substance abuse treatment clinic, with locations in Colorado Springs and Pueblo West, has agreed to pay a settlement following allegations the company violated the False Claims Act.

According to the U.S. Attorney's Office District of Colorado, Springbok Health Inc. is accused of billing Medicare and Medicaid for "high-complexity and prolonged medical evaluation and management services when such services were not rendered."

“Billing Medicare and Medicaid for more expensive services than were actually rendered depletes the limited resources of these vital health care programs,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Department of Justice’s Civil Division said in a statement. “We will continue to safeguard taxpayer dollars and hold accountable those who knowingly misuse such funds.” 

The U.S. Attorney's Office says between 2017 and 2019, Medicare and Medicaid were allegedly billed for expensive medical evaluation and management systems when, at most, less expensive counseling services were provided.

“Providing substance abuse treatment is a vital tool in combating the opioid epidemic devastating Colorado communities,” said U.S. Attorney Cole Finegan for the District of Colorado in a statement. “But offering treatment to addicts does not excuse fraud. Our office will continue to pursue claims against providers whose fraudulent billing practices take valuable resources away from victims of the opioid crisis.”

Monday, the U.S. Attorney's Office announced Springbok and Jankelow agreed to pay at least $125,000 and up to as much as $335,494.

Additionally, the u.S. Attorney's Office says the civil settlement includes "the resolution of an action brought under the qui tam or whistleblower provisions of the False Claims Act against Springbok and Jankelow."

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