The Ensign Group (Nasdaq: ENSG), a national provider of services including home health and hospice care, announced it has completed a $48 million settlement with the Department of Justice (DOJ) over claims that the company accepted overpayment by federal health care programs. The company also operates skilled nursing and assisted living communities.
The claims date back to 2006. While Ensign has agreed to pay a one-time lump sum of $48 million to the DOJ, as well as entering into a five-year corporate integrity agreement with federal agencies, the company has not admitted to wrongdoing in the case.
“We are pleased to put this matter behind us and look forward to focusing on our mission of providing compassionate care to patients and achieving our goal of setting the standard for high quality healthcare services throughout the industry,” said Christopher Christensen, Ensign’s president and CEO. “We already have made and will continue to make significant investments in our infrastructure to enhance our compliance program, and we are confident that we are well prepared to comply with the terms of a corporate integrity agreement.”
The company will make the single settlement payment in October and will full resolve the DOJ investigation as well as related claims.
Ensign says it does not expect the settlement to have a material adverse effect on its financial position long-term and has planned for and reserved funds accordingly.
Written by Elizabeth Ecker
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