A Clinton Township-based physical therapy company has agreed to pay nearly $5 million to settle a federal complaint over claims it fraudulently billed government programs, officials said.
The Team Rehabilitation Services LLC deal was announced on Wednesday by Jerome Gorgon, U.S. Attorney for the Eastern District of Michigan.
“Improperly billing federal healthcare programs depletes valuable resources and erodes public trust,” he said. “This case is further proof that this office will continue to aggressively root out fraud, waste, and abuse in our healthcare system.”
Nick Weber, Team Rehabilitation Services’ CEO, said Thursday the settlement represents his firm “doing the right thing. Upon notification of our billing errors, our executive, compliance, and legal teams worked closely with the government to determine the underlying cause of our billing errors and then immediately moved to…
PROCUREMENT & EXPENDITURE (STOPPING KICKBACKS)
Procurement fraud usually involves inflated invoices or “fictitious” vendors.
- The Three-Way Match: Never pay an invoice unless you have matched the Purchase Order (PO), the Delivery Note (signed), and the Supplier Invoice.
- Vendor Master File Review: Review your vendor list annually. Look for suppliers with the same bank details or physical addresses as your employees.
- Dual Authorization: Implement a “Two-to-Sign” rule for all EFT payments above a certain threshold (e.g., R5,000).
- No “Cashing” of Checks: If you still use physical checks, strictly prohibit “Cash” as a payee and store blank checks in a dual-lock safe.