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Roanoke-based opioid treatment center to pay $348K in 'improper billing' case

FILE PHOTO - Gavel. (Credit: Getty Images)
FILE PHOTO - Gavel. (Credit: Getty Images)
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A Roanoke-based opioid treatment center has settled a civil case with the United States.

Virginia Treatment Center, LLC, doing business as Roanoke Comprehensive Treatment Center (RCTC) in Roanoke, has agreed to pay $348,934 to resolve allegations that it violated the False Claims Act by billing Medicaid for addiction treatment services that were not provided by licensed individuals.

RCTC is a subsidiary of Acadia Healthcare that provides outpatient treatment, including medication-assisted treatment for adults suffering from opioid addiction.

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“At a time when addiction disorder is running rampant in many Virginia communities, we must continue to be vigilant in holding accountable those who seek to defraud Medicaid through fraudulent billing schemes like this one,” United States Attorney Christopher R. Kavanaugh said.

Attorney General Jason Miyares said he is glad his office could help to reach a reasonable settlement in this case.

The allegations involved claims that RCTC billed Virginia Medicaid from January 1, 2018, through December 31, 2020, for counseling to patients that was not provided by credentialed addiction treatment professionals. RCTC was required to conduct face-to-face counseling sessions for its patients. During this time period, RCTC billed Medicaid for counseling services by people who were not credentialed as though the counseling had been provided by properly credentialed addiction professionals.

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The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Western District of Virginia, the U.S. Department of Health and Human Services, and the Virginia Attorney General’s Medicaid Fraud Control Unit.

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Assistant U.S. Attorney Justin Lugar investigated the matter. The claims resolved by the settlement are allegations only and there has been no determination of liability.

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