Illinois Skilled Therapy Provider to Pay $1.5 Million to Settle Federal Healthcare Fraud Suit

A Rockford, Ill.-based skilled therapy provider and its current and former owners have agreed to pay $1.5 million to resolve civil allegations that the company violated the False Claims Act by falsely submitting claims to Medicare for purported physical and occupational therapy. Settlements and consent judgments resolve allegations that Brynwood Myofascial Therapy LLC, its current owner, Malgorzata Zasadny, and its former owner, Marla Monge, fraudulently billed Medicare for (1) therapy services when the provider was actually out of the country, (2) physical therapy or occupational therapy when the services were performed by massage therapists rather than licensed physical or occupational therapists, (3) services performed by an occupational therapy assistant or physical therapy assistant when they were not properly supervised, (4) therapy services under improper codes to avoid caps on certain services, and (5) occupational and physical therapy when there were no licensed occupational therapist or physical therapist on site. As part of a settlement agreement and consent order entered by US District Chief Judge Rebecca R. Pallmeyer, Brynwood Myofascial Therapy and Zasadny agreed to pay $953,959, while Monge agreed to pay $615,345.

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