Feds Sue Fla. Ambulance Firm; Settle Suits with Hospitals

March 25--The federal government settled a lawsuit this month filed against a local ambulance company and four hospitals, while continuing a separate fraud lawsuit against a second ambulance company.

In 2011, the United States government sued Century Ambulance and Liberty Ambulance, as well as UF Health Jacksonville, Memorial Hospital, Orange Park Medical Center and Baptist Medical Center Jacksonville. After settling the lawsuits with all but Liberty Ambulance, a federal judge unsealed some documents in the case.

The government claimed the companies and hospitals defrauded the United States. The ambulance companies transported patients and claimed the patients had a medical need for the ambulances, when they didn't, according to the government's lawsuit.

The federal government believes Century Ambulance with the hospitals submitted false claims of more than $5 million. Liberty Ambulance submitted false claims of more than $10 million, the lawsuit said.

Shawn Pelletier, an EMT since 1998, worked for Century Ambulance from 2004 to 2006. He said he witnessed documents being falsified for the purpose of billing Medicare or Medicaid. From 2007 to 2009, he worked for Liberty Ambulance. The two companies billed the United States for medically unnecessary trips, the lawsuit said.

He acted as a whistleblower for the government. He will get to share of the amount of money the government recovers. The government and the companies haven't finalized the settlement agreement. In the next few months, the government will file a new complaint against Liberty Ambulance for filing false claims, according to U.S. Attorney's Office spokeswoman Amy Filjones.

"We intend to vigorously pursue that case against that defendant," she said.

A person who answered the phone for Liberty Ambulance said the company wouldn't comment.

Century Ambulance on the other hand said it denies "purposeful wrongdoing and has always made compliance with billing rules a top priority."

The company said it has complied with the government ever since learning of the lawsuit, including making employees available for interviews and willingly giving over its records.

It has appointed a compliance officer and retained a review organization to monitor its billing and train its staff, the company said.

UF Health Jacksonville did not receive payments for the ambulance services, spokesman Dan Leveton said. The hospital settled the lawsuit, but it didn't admit to any wrongdoing. The hospital will give more education to employees about requesting ambulances.

Memorial Hospital said the issues of when to order an ambulance is complex.

"There are complex Medicare rules that govern the appropriateness of when ambulance companies may bill for such transport if the patient is deemed well enough to travel in a cab or van," said spokeswoman Ilyssa Drumm ."This case addresses that issue for certain former Medicare patients, and we are pleased the matter is being resolved."

Orange Park Medical Center, owned by HCA Healthcare, the same company that owns Memorial, issued a similar statement.

David Goldberg, the hospital's spokesman, also said the Medicare rules are complex in a statement.

Andrew Pantazi: (904) 359-4310

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