Rural/Metro Corporation settles Qui tam suit for $2.5 million
The Department of Justice celebrates another win in the fight against fraud and False Claims Act (Qui tam) violations in a recent settlement by a major ambulance provider.
Rural/Metro Corporation, one of the nation’s largest ambulance providers, has agreed to pay the United States over $2.5 million to resolve allegations that the company violated the False Claims Act. The company was accused of providing illegal inducements to hospitals in Texas in exchange for referrals.
The settlement arose out of qui tam or whistleblower lawsuits filed in 2000 and 2001 by Daniel Block and Adam Wightman, former employees of one of Rural/Metro’s competitors. Block and Wightman will receive approximately $450,000 as a result of the qui tam settlement.
Click Here to read more from the Department of Justice.
Why doesn't this surprise me?
I just spoke with the corporate office regarding a bill which they submitted to by private health carrier. In the first stage of my conversation, I confirmed that the patient requesting ambulance service via 911 has no choice in which ambulance service responds to the call.
I then asked if Rural Metro would be willing to adjust the bill for the difference between what my health insurance would allow for the services and what they charged, as Rural is not a participating provider. They flat out refused. I find this appalling, since I the consumer did not request Rural's assistance, and Rural does have the option of being a participating provider, for which they would most likely be paid even less for the same services. This in my opinion is "gauging" the consumer and the health insurance industry.