The Qui Tam Blog

Maryland-based Maxim Healthcare Services, Inc. (“Maxim”) agreed to pay $150 million to settle criminal and civil charges relating to a nationwide scheme to defraud state Medicaid programs and the Veterans Affairs program. Maxim will pay $130 million in civil settlements and a $20 million fine as part of a Deferred Prosecution Agreement (“DPA”). If Maxim complies with the DPA’s reform and compliance requirements, it will avoid a conviction on the health care fraud charges.

According to the complaint, Maxim submitted more than $61 million in fraudulent billings to government healthcare programs for services not rendered or not reimbursable. From 2003 through 2009, Maxim received over $2 billion in reimbursements from programs in 43 states.

Eight former Maxim employees and the parent of a former Maxim patient pleaded guilty to federal charges arising out the submission of false billings and false statements.