Judge rules Planned Parenthood must face Medicaid fraud lawsuit.
Planned Parenthood Faces Trial Over Medicare Fraud Claims
Planned Parenthood is set to go to trial after a recent district court ruling that could result in the organization paying up to $1.8 billion. The lawsuit accuses Planned Parenthood of overbilling Medicare programs in Texas and Louisiana, even after being terminated as a provider. U.S. District Judge Matthew Kacsmaryk has scheduled the trial to begin on April 16, 2024.
The lawsuit alleges that Planned Parenthood overbilled by approximately $17 million, but the potential legal penalties could be much higher. Planned Parenthood claims that the total liability could reach $1.8 billion and have a significant impact on its operations in Texas.
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10/17/2023In a sealed court order, Judge Kacsmaryk ruled against Planned Parenthood, stating that the organization must return some of the funds it received from Texas and Louisiana. The ruling did not specify the exact amount to be returned.
The lawsuit stems from undercover footage released in 2015, which claimed to show Planned Parenthood staff discussing the sale of fetal tissue. Planned Parenthood denied any wrongdoing, but Texas and Louisiana terminated their contracts with the organization. However, Planned Parenthood continued to submit claims for Medicaid service payments, resulting in millions of dollars in state and federal funds.
The preliminary injunctions that allowed Planned Parenthood to continue receiving payments were eventually lifted, and both Texas and Louisiana ended their contracts with the organization. The lawsuit alleges that every claim submitted by Planned Parenthood after its disqualification was false or fraudulent.
Planned Parenthood Owes Money
Planned Parenthood argues that it committed no wrongdoing in billing Texas and Louisiana, as the termination decisions were paused by court orders. The organization also claims that it cannot be held liable since the states never requested repayment.
However, Judge Kacsmaryk dismissed these arguments, stating that once the Medicare terminations became final, Planned Parenthood was obligated to return the money. The judge, a Trump appointee and former anti-abortion activist, ruled against the organization.
Planned Parenthood remains steadfast in its defense, with Susan Manning, general counsel for Planned Parenthood Federation of America, stating, “The Texas Planned Parenthood affiliates did not commit Medicaid fraud and followed the law, period.”
The court ruling comes at a time when pro-life activists are pushing to cut government funding for Planned Parenthood. Rep. Lauren Boebert has introduced a bill to defund the organization for one year, requiring clinics to certify that they will not perform abortions in order to receive funding.
Planned Parenthood received $633.4 million in government funding between July 2020 and June 2021, according to their report.
What are the specific allegations made against Planned Parenthood in the 2015 videos released by the Center for Medical Progress?
2015 by the Center for Medical Progress, which alleged that Planned Parenthood was selling fetal tissue for profit. Following the release of the videos, several states launched investigations into the organization’s practices.
The investigation in Texas and Louisiana focused on the billing practices of Planned Parenthood. It was alleged that the organization continued to bill Medicare programs even after its status as a provider was terminated. The lawsuit claims that Planned Parenthood overbilled by approximately $17 million, but the potential legal penalties could be much higher.
In a recent district court ruling, Judge Kacsmaryk determined that there is sufficient evidence to proceed with a trial. The trial is set to begin on April 16, 2024, and if found guilty, Planned Parenthood could be required to pay up to $1.8 billion in restitution.
Planned Parenthood has expressed concern over the potential financial impact of the lawsuit. The organization claims that a $1.8 billion liability would have a significant impact on its operations in Texas. It is unclear how such a financial burden would affect the organization’s ability to provide healthcare services to women in the state.
This lawsuit comes at a time when Planned Parenthood is facing increasing scrutiny and legal challenges across the country. Pro-life groups have been pushing for stricter regulations on abortion providers and have targeted Planned Parenthood specifically. The recent lawsuit in Texas and Louisiana is just one example of the legal battles the organization is currently facing.
In addition to the lawsuit, Planned Parenthood is also facing criticism from doctor groups who are calling for the Supreme Court to undo FDA approval of abortion drugs. Pro-life groups are also suing the organization over a $500,000 out-of-state abortion fund in San Antonio.
It is essential to note that the allegations against Planned Parenthood have not been proven in court. The upcoming trial will provide an opportunity for both sides to present their evidence and arguments. Regardless of the outcome, the results of this trial could have significant implications for the future of Planned Parenthood and its ability to provide healthcare services to women in Texas and Louisiana.
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