- Associated Press - Friday, December 18, 2015

WASHINGTON (AP) - Federal officials say Maryland-based splint supplier Dynasplint Systems and its founder and president have agreed to pay more than $10 million to resolve allegations that they violated the False Claims Act.

Dynasplint, founded by George Hepburn, was accused of mischarging Medicare for splints used by patients in Medicare-certified skilled nursing facilities.

Officials say patients in those facilities, or their insurers, make bundled payments that covers all their needs, and that separate reimbursement for items such as splints is not permitted. To circumvent Medicare rules, the defendants allegedly claimed that patients were in their homes or other facilities.

While not determining liability, the settlement resolves allegations brought in a whistleblower lawsuit filed by Meredith Deane, a former Dynasplint sales executive.

Deane will receive at least $1.98 million in the settlement.

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