American Health Companies, dba American Health Partners, Agrees to Pay Over Two Million Dollars to Resolve False Claims Act Liability Involving a Tennessee Nursing Home

NASHVILLE – American Health Companies, LLC (“AHC”), doing business as American Health Partners (“AHP”), has agreed to pay $2,090,309 to the United States and Tennessee to resolve False Claims Act allegations related to billing Medicare and TennCare for grossly substandard nursing home services from Lewis County Nursing and Rehabilitation, LLC, between 2019 and 2024. During those years, Lewis County Nursing and Rehabilitation did business as AHC Lewis County and operated as a subsidiary of AHP. AHP is a company headquartered in Franklin, Tennessee, that provides senior health services and owned nursing homes, including AHP Lewis County, during the relevant years. AHC Lewis County was a 131-bed facility in Hohenwald, Tennessee. “This settlement is essential to protecting the elderly and disabled residents of our community who depend on quality care,” said United States Attorney Braden H. Boucek for the Middle District of Tennessee.“ But it is equally essential to protect the taxpayers who fund these programs. When facilities inflate charges while cutting corners on care, they undermine both quality for the people they serve and the public trust. Strong enforcement sends a clear message that exploiting seniors and the American taxpayer will have real consequences.” The United States and Tennessee alleged that AHC Lewis County systematically provided grossly substandard and/or worthless nursing home services that failed to meet the required standards of care in various ways. For example, the United States and Tennessee alleged that AHC Lewis County failed to provide residents with proper wound care, appropriate infection control, and protection from falls. The United States and Tennessee similarly alleged that AHC Lewis County failed to prevent residents from weight loss and loss of their range of motion. The United States and Tennessee also alleged that AHC Lewis County overprescribed antipsychotic medications to residents. In addition, in June 2023, the Tennessee Health Facilities Commission temporarily suspended admissions to AHC Lewis County due to a survey report that found conditions at the facility to be, or likely to be, detrimental to the health, safety, or welfare of residents. Around the end of 2024, AHP sold its nursing homes, and AHC Lewis County now operates under new ownership. Under the settlement agreement, AHP will pay a total of $2,090,309, plus interest. Of that amount, $1,196,074 goes to the United States, and $894,235 will go to Tennessee.