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DOJ Serves HealthSouth A Complaint

May 28, 2002 |

HealthSouth Corp. said the U.S. Department of Justice served the company with a complaint in connection with a pending civil suit.

HealthSouth said in the Tuesday filing that DOJ's complaint is connected with a previously disclosed civil False Claims Act case pending against the company in the U.S. District Court for the Western District of Texas.

The complaint alleges that HealthSouth submitted false claims for reimbursements from Medicare and other federal health-care programs.

The company, of Birmingham, Ala., said it believes its practices are consistent with Medicare regulations.

HealthSouth provides outpatient surgery and diagnostic and rehabilitative health-care services through a network of outpatient and inpatient health-care rehabilitation facilities.

Shares gained 2 cents to $14.12 in recent trading.

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