Sutter Health paying $90M in Medicare fraud settlement

By DON THOMPSON
Associated Press

SACRAMENTO, Calif. (AP) — A major California-based medical provider is paying a total of $90 million to settle allegations of Medicare fraud. Justice Department officials said Monday that Sutter Health, northern California’s largest hospital system, got inflated payments. Sutter says it paid $30 million to partly resolve the claims in 2019 and will now pay the additional $60 million to fully resolve the lawsuit without admitting liability. The civil settlement resulted from a 2015 whistleblower complaint by a former Sutter employee. Sutter says in a statement that the settlement brings closure to a long-running dispute.