Hospital Settles CMP Case Over 60-Day Rule With Small Payment but Double Damages

New London Hospital Association in New Hampshire has agreed to settle allegations it held onto Medicare and Medicaid overpayments for too long, according to the HHS Office of Inspector General (OIG). This is one of the few times OIG has settled a case under the Civil Monetary Penalties (CMP) Law applicable to known retention of an overpayment, although the Department of Justice has resolved false claims cases based on alleged violations of the 60-day overpayment refund rule.

New London Hospital Association, which includes New London Hospital (a critical access hospital), the Newport Health Center, and the New London Hospital Practices/New London Medical Group, agreed to pay $10,000 in the settlement agreement, which was obtained through the Freedom of Information Act. The settlement stemmed from a self-disclosure. According to its website, New London Hospital is part of Dartmouth-Hitchcock, a large health system in New Hampshire.

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