On May 31, 2019, the U.S. Attorney for the District of Kansas, Stephen McAllister, announced a $250,000 settlement with Coffey Health System after two whistleblowers filed a qui tam suit for violations of the False Claims Act (FCA).
The case began in January 2016, when the hospital’s former Chief Information Officer and Corporate Compliance Officer alleged that Coffey falsely attested that it was in compliance with certain electronic health records (EHR) security standards and that data submitted to Medicare and Medicaid was captured and exported manually rather than through the hospital’s EHR technology.