Medical Transportation Company Settles to Resolve False Billing Allegations

The Massachusetts Attorney General’s Office (AGO) has reached a settlement with RM Transportation, Inc. (RM Transport), a Swampscott-based medical services transportation provider, to resolve allegations that the company billed MassHealth for transportation services that it did not provide. As part of the settlement, RM Transport will pay $380,000 to the Commonwealth and will implement a three-year independent compliance monitoring program at its own expense. The compliance program will result in updated policies and procedures to ensure compliance with MassHealth requirements, along with trainings for staff on the updated policies and procedures, and annual record and on-site audits.

The AGO alleges that RM Transport knowingly submitted false claims to MART for services it did not provide to MassHealth members, including submitting claims for instances when relevant medical facilities were closed, when the members had take-home Methadone doses and were not going to the Methadone clinic, and when medical services for MassHealth members had concluded. The AGO asserts that the alleged conduct constituted violations of the Massachusetts False Claims Act and the Medicaid False Claims Statute.

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