CHIPLEY-BASED PHYSICAL THERAPY PRACTICE PAYS OVER $750,000 TO RESOLVE FALSE CLAIMS ACT LITIGATION

PENSACOLA, FLORIDA – Absolute Physical & Aquatic Therapy, LLC; Chipley Physical Therapy, LLC; Ruben Laurel; and Lorrie Laurel have agreed to pay $754,722.88 to resolve allegations that they violated the False Claims Act (“FCA”) by knowingly causing the submission of false claims for physical therapy services allegedly performed by Lorrie Laurel, a physical therapist, while she was outside the United States, according to U.S. Attorney John P. Heekin. U.S. Attorney Heekin said, “I am incredibly proud of the great work by my office to recover these U.S. taxpayer monies that were improperly paid out for false claims submitted by this physical therapy practice. President Donald J. Trump and Attorney General Pam Bondi have made the elimination of fraud, waste, and abuse in federal programs a top priority, and my office will continue to zealously pursue any person or business who tries to rip off the U.S. Government and steal from the U.S. taxpayer.” Defendant Chipley Physical Therapy, LLC provides outpatient physical and aquatic therapy services in Chipley, Marianna, and Bonifay, and is owned and operated by Defendants Ruben and Lorrie Laurel. Defendant Absolute Physical & Aquatic Therapy is a physical/occupational therapy group in private practice owned and operated in part by Defendant Ruben Laurel. The United States alleged that Defendants knowingly submitted false claims for payment in violation of the False Claims Act by billing the government for services while Defendant Lorrie Laurel was out of the country and on cruises in Mexico, Jamaica, Aruba, and the Bahamas between July 2019 and March 2024. Specifically, Defendants submitted 503 claims for payment to the United States for services Defendant Lorrie Laurel allegedly performed while she was abroad. The FCA provides for the award of treble damages and civil penalties for, among other things, knowingly presenting or causing the presentment of false or fraudulent claims to the United States for payment or approval. 31 U.S.C. § 3729(a)(1)(A). To resolve the pending litigation, Defendants agreed to pay treble damages and penalties, in the amount of $754,722.88, of which $19,988.34 is restitution. As part of the resolution, Defendants also agreed to: (1) appoint and maintain an external Compliance Officer for a period of three years who will submit periodic reports to the United States; (2) develop and implement policies and procedures regarding appropriate billing and medical record documentation for compliance with Federal health care program requirements; (3) require quarterly training for all employees on Federal health care program billing, coding and claim submission, and medical record documentation requirements; and (4) the imposition of additional stipulated penalties for failure to comply with any of the aforementioned non-monetary terms.