Medicare/Medicaid payments are critical for these predominantly high-debt firms to meet rising interest expenses. Fraudulent billing by these Acadia/CRC drug treatment clinics, as contended by the government, limits the States ability to provide desperately needed addiction treatment services, Maureen Dixon, Special Agent in Charge of the Office of Inspector General of the U.S. Department of Health and Human Services Region including West Virginia, said in the release. At Rolling Hills, he suffered two fractured vertebrae, a dislocated shoulder and a broken foot and never recovered. The settlement represents the largest healthcare fraud settlement in the history of West Virginia and is twice the actual loss from the scheme. 170 likes. Additionally, the provisions it did have were woefully ineffective. Beckley: (304) 253-6722 Click here to find out more , Insider Trading Volume Since 2015. See Debbie Osteen's compensation, career history, education, & memberships. I'll first provide you with . Please disable your ad-blocker and refresh. Lastly, contact was made with Acadia Healthcare and Waud Capital Partners via telephone and email. 19,200. They are up more than 20 percent so far this year. Working here will land you with people's deaths on your conscience. Included within the purview of the team are the Opioid Fraud and Abuse Detection Unit, Affirmative Civil Enforcement Unit, Appalachian Regional Prescription Opioid Task Force, Medicare and Medicaid Fraud, and Asset Forfeiture efforts related to all healthcare matters. Source: The Braff Group. Prior to the act, insurers could require people to pay a greater share of the cost associated with mental health and substance abuse. That case was filed by counsel on behalf of the Garden City Employees Retirement System and other affected PSI shareholders. 2.5. A press release on that date, issued by the plaintiff('s) counsel, Robbins, Geller, Rudman, & Dowd LLP, stated that Jacobs and the PSI leadership ended the dispute. He recently acquired an ownership stake in the Nashville Predators, according to The Tennessean. CRC Health operates its subsidiary, Acadia Healthcare, located in Tennessee with treatment centers in West Virginia. According to The New York Times: Starting in 2010, as opioid abuse evolved into a crisis and the Affordable Care Act offered insurance to millions more young people, the cost of urinalysis tests soared. Compared to the closing price on Monday 02/27/2023 on NAS of $80.49, this is a drop of 3.42%. Many have been subjected to buyouts and the large checks that accompany them. Room 209 era at Psychiatric Solutions. Surely, it's not hard to see why; HCA owns and operates 162 hospitals and 113 surgery facilities, the majority of which are located in the US - and with the ever-growing healthcare fraud crisis that seems to plague the nation, HCA and its subsidiaries commonly find themselves in hot water. Source: Complaint in US District Court (Garden City Employees Ret. Myron already had health problems and used a wheelchair, but he could stand for long enough to get into bed or onto the toilet, she said. 2. Acadia Healthcare Engaged Employer Overview 648 Reviews 79 Jobs 657 Salaries 49 Interviews 309 Benefits 1 Photos + Add a Review Acadia Healthcare Employee Reviews about "patient care" Updated 11 Mar 2021 Find Reviews Clear All Full-time, Part-time English Filter Found 18 of over 648 reviews Sort Popular Popular Highest Rating Lowest Rating While it says that it is keeping debt high to make additional acquisitions, those acquisitions have not happened. In 2015, American Addiction Centers ((AAC)) was charged with murder in California the first-ever corporation to be charged with second-degree murder. In the United Kingdom, the majority of Acadia's revenue comes from its healthcare facilities, and virtually all of the payment received is from the National Health Service. This, the day after the NY Post reported that Kohlberg Kravis Roberts and Co. Inc. (NYSE: KKR) was looking to acquire Acadia. Los Angeles, CA 90028 800-869-2247 323-467-4242 323-467-3720 Fax. At Lakeview, no one would talk to Channel 2, but group CEO Jim Spruyt emailed saying: We continue to work collaboratively and transparently with law enforcement as they follow up their investigation of uncorroborated complaints.. Interest expenses are anticipated to be $80-$85 million for 2023. Waived laboratory tests are simple tests with a low risk for an incorrect result. Most importantly, after all of this, is anyone worried about the patients, their pension, or more importantly, the many children in care, separated from their families? United States Attorney Mike Stuart announced the formation of ARREST in February 2019. I wrote this article myself, and it expresses my own opinions. 6100 Tower . Source: YCharts. Medicaid regulations and policies specifically prohibited Acadias treatment centers from seeking reimbursement for moderate and complex urine and blood testing which they were not certified to perform, and did not, in fact, perform. (Page 6, Paragraph 1 of the complaint. The company expects to add more than 800 beds to current and new facilities in 2018. Yet cost-cutting has persisted. The company rampantly and openly commits insurance fraud. In just under two weeks after Acadia's stock reached the highest peak it would ever achieve, a few insiders unloaded $1 billion worth of stock onto the market. Another suit, from 2015, alleges child neglect. Ask a question about working or interviewing at Arcadia Health Care. Cash from operations growth has dried up. SLOW DOWN. He hasnt been able to stand since he left Rolling Hills in January 2018, Marsha said. Overall, the sexual assault allegations are eerily similar to the lawsuits from the Jacobs et al. No time off; Little regard for employees happiness/overall mental health (ironic); No flexibility; Extreme lack of communication company-wide; Unless promoted, raise is 2% max; Lack of ethics. I should know more later this week. Interest expense for the last half of the year is expected to be around $95 million. CONTACT: Shareholders Foundation, Inc. Michael Daniels +1 (858) 779-1554. 10. Acadia bought the facility in 2012 and since them three families have sued over injuries to loved ones who were patients there. The investigation was conducted by HHS-OIG, the Drug Enforcement Administration, West Virginia Medicaid Fraud Control Unite and members of the U.S. Attorneys Healthcare Fraud Abuse, Recovery and Response Team. Source: Y Charts, Cap Table: 2016 ACHC Proxy Statement (pp. Insurers could also limit the Mental Health (MH) and Substance Use Dependence (SUD) services offered in benefit packages. Official websites use .gov Acadia does not care about the well-being of their patients or their employees. In 2018, improper payments alonewhich include things like payment for non-covered services or for services that were billed but not providedtotaledmore than $40 billion nationally according to the Government Accountability Office. 6. workplace safety or health violation. 1. Acadia Healthcare Company, Inc. provides behavioral healthcare services in the United States and Puerto Rico. Ever, and presently chairs the Illinois State Police Merit Board, Patient was a minor at the time of the intimacies, Patient had experienced incest or other child sex abuse, Patient had experienced rape prior to intimacies with therapist, Patient required hospitalization considered to be at least partially a result of the intimacies, Patient achieved complete recovery from any harmful effects of intimacies, Patient filed formal (e.g., licensing, malpractice) complaint. This likely indicates that they will be unable to weather the coming rate hikes. The problem is that Medicaid paid the facilities a much higher amount for the tests than the lab had charged for the analysis. Acadias treatment centers paid the San Diego Lab directly. The facility has been accused of rampant patient and staff abuse, and allegedly inflates staff to appropriate levels only when a visit from the Joint Commission is expected. 5. As a leading provider of behavioral healthcare services in the United States and Puerto Rico, Acadia Healthcare operates 246 treatment facilities across 39 states. Old men to stumble into Moncton. In a one-week period in 2017, two suicides occurred at the facility. To combat these financial challenges, Acadia has purportedly tried: reputable clinicians and physicians don't want to work with Acadia. There appears to be an acceptable level of patient abuse and sexual abuse because thats the norm in the mental health industry. Presently, over 70% of the companys top-line is paid to Acadia by the British and American taxpayers, he reported. 7, No. No clear federal definition exists for what constitutes a SUD center, so some entrepreneurs started opening centers in strip malls, filling them with beds, signing users up often through unethical methods. The company, which runs mental-health and addiction-treatment facilities, reported fourth-quarter net income of $63.1 million, or 67 cents a share, compared with $71.5 million, or . Of the $17 million settlement, nearly $2.2 million will be paid directly to the State of West Virginia. When state inspectors visited in November of 2017, they declared a state of imminent danger. I/we have no positions in any stocks mentioned, but may initiate a short position in ACHC, UHS, AAC over the next 72 hours. Acadia Healthcare CEO Joey Jacobs. Sexual assault against patients is alleged to have occurred as well. GWINNETT COUNTY, Ga. More than 50 local police officers raided a local mental health hospital. The strike force works with law enforcement agencies including State Medicaid Fraud Control Units. Acadia offers an unhealthy work environment, terrible management that is rarely on site, and unreasonable expectations. Source: Nashville Post. An official website of the United States government. Fort Myers, FL, Park Royal Hospital. As a result of the $17 million settlement, which represents twice the actual loss suffered by Medicaid, both the state and federal programs will be made whole. Additional disclosure: All Relevant Litigation Discovered to Date Can Be Found at:https://www.dropbox.com/sh/edipup27v9mbio5/AAAgDjlsvuwW-Kp04PG6ew5va?dl=0. If you have information that would assist KSF in its investigation, or have been a long-term holder of Acadia shares and would like to discuss your legal rights, you may, without obligation or. Our Facilities 21,000+ EMPLOYEES 9,900+ BEDS 227 LOCATIONS 40 STATES 1 NETWORK psychcrime@psychcrime.org The company was founded in January 2005, and is headquartered in Franklin, Tennessee. Unscrupulous actors have taken advantage of well-intended federal law, and a lack of any good law at the state level, to profit off people at the lowest stages of their lives. According to another friendly FBI source (reached via phone in July 2018), Special Agent Tara Smith of Chicago, discussed the link between cost-cutting, potential fraud, and patient harm, and said: it's just not something we do, and it's a challenge to connect the two. A locked padlock At the same time that Acadia's debt burden is close to becoming unserviceable, it keeps saying it will continue expansion. Acadia is experiencing skyrocketing competition from legitimate firms. Courtesy Acadia Healthcare, Cap Table: 2015 ACHC Proxy Statement (pp. Again, the leadership has, for the most part, cashed in. It's even harder to find an intrinsic value above $0. Only Channel 2 Action News was there when detectives pulled evidence and questioned employees.. On January 17, 2015, a settlement was announced in the Garden City Employees et al case against PSI leadership. Cap Table: 2012 ACHC Proxy Statement (pp. $6,908. MH/SUD Peers vs. S&P 500 (Normalized). In August 2018, the Department of Justice announced the creation of a new regional Medicare fraud strike force covering Newark, New Jersey and Philadelphia, Pennsylvania, adding to similar such strike forces in Miami, Los Angeles, Detroit, Chicago and other major metropolitan areas. According to the Acadia website, this facility is: located on 43 tranquil acres in the suburbs of Chicago. 7, No. On February 28, 2018, The Attorney General's office was notified upon first discovery of potentially harmful misconduct at Acadia. As of June 30, 2022, Acadia operated a network of 246 behavioral healthcare facilities with approximately 10,800 beds in 39 states and Puerto Rico. Acadia Healthcare Company, Inc. today announced financial results for the fourth quarter and year ended December 31, 2022. Those who purchased Acadia Healthcare Company Inc (NASDAQ: ACHC) shares should contact the Shareholders Foundation, Inc. Federal inspectors back them up, saying in a report (source) that the facility is: too short-staffed to properly supervise patients. sued Jacobs and the PSI Management in Federal District Court, Complaint in US District Court (Rocinek et al v. PSI, Filed 7/20/2010), (Garden City Employees Ret. The Capitol Forum also spoke to three former Oasis employees who worked at the facility during the time frame covered by the documents. Today, regulations have finally set in in some states; costs are cut so far that treatment centers often have misleading or dangerous living conditions, and fail to provide individuals with the treatment they desperately need. The settlement represents the largest healthcare fraud settlement in the history of West Virginia and is twice the actual loss from the scheme. Fraudulent billing by these Acadia/CRC drug treatment clinics, as contended by the government, limits the States ability to provide desperately needed addiction treatment services, said Maureen R. Dixon, Special Agent in Charge of the Office of Inspector General of the U.S. Department of Health and Human Services Region including West Virginia. She had bruising all over, Tipton told Thomas. SHUT THIS PLACE DOWN BEFORE ANYONE ELSE IS KILLED. More nurses are leaving the profession than joining, leaving Acadia without sufficient staff to care for its UK patients. Ada, OK, Rolling Hills Hospital. A partial reason is that poor people are inclined to seek free shelter in a behavioral healthcare center when it is warm outside. However, one has already happened since then and another is expected that is not accounted for by Acadia. A separate claim, filed in 2009, names the same defendants. Nothing was locked up that could be broken and used for self-harm. Courtesy: Acadia Healthcare, Cap Table: 2018 ACHC Proxy Statement (pp. Oversight. Editor's note: Seeking Alpha is proud to welcome Penn Little as a new contributor. 20,000 Employees We employ professionals who are dedicated to developing innovative ways to deliver individualized behavioral health treatment. February 13, 2019. I. It has been saddled with $3.7 billion in debt, unable to pay. Another law, passed in 1997, had tried to achieve something similar. I was made aware that the Oklahoma Department of Human Services apparently ordered the removal of all ODHS children from the facility. Laboratories that perform non-waived tests are required to have a significantly higher level of certification than the certifications held by the Acadia treatment centers. 2 min read PHILADELPHIA, March 23, 2021 (GLOBE NEWSWIRE) -- Kaskela Law LLC announces that it is investigating Acadia Healthcare Company, Inc. (NASDAQ: ACHC). The company has seen a mass exodus of value, about a third of its market cap, since Littles first report on the behavioral healthcare company. Non-waived laboratory testing, in contrast, consists of moderate and high complexity testing. Acadia has been unable to hire and retain professional personnel. On October 3, 2008, President Bush signed the Mental Health Parity and Addiction Equity Act into law. era at Psychiatric Solutions, "Used to Be Better, Now It's Just About Acquiring as Much as Possible,", "Short staffed to the point that patients are put in danger,", no bank has ever issued a sell rating. This is the embodiment of the operational and financial abuses that have permeated this industry. Huntington Comprehensive Treatment Center in West Virginia. However, Acadias West Virginia treatment centers then billed West Virginia Medicaid for the urine and blood testing performed by the San Diego Lab, as though the testing had been performed by the treatment centers. In the shareholder earnings call for Q2, Joey Jacobs said they were expecting one more interest rate hike by the end of the year. Source: YCharts. 5. As part of the settlement, Acadia and its chain of clinics have entered into a five-year corporate integrity agreement with the U.S. Department of Health and Human Services that requires the company to maintain a compliance program, implement a risk assessment program and hire an outside organization to review Medicaid claims. Medicaid paid Acadias treatment centers $8,500,000 as a result of these moderate and complex urine and blood testing claims, resulting in a loss of $2,181,100 to the State of West Virginia and $6,318,900 to the United States. If one of them sells, it will trigger a mad rush for the door as they look for higher-growth opportunities (healthcare is experiencing 13.7% growth, while Acadia's has shrunk to 9.5%). A place to come and make your grievances against Acadia Health Care public. Mental Health Parity and Addiction Equity Act of 2008, rider to the Troubled Asset Relief Program (TARP), resorted to extreme exploitation of minimal regulation via patient brokering, massive gold rush, according to Bloomberg News, misleading or dangerous living conditions. Nearly 600,000 West Virginians rely on Medicaid for the payment of critical services. It closed all of the loopholes insurers used to circumvent the prior Mental Health Parity Act of 1997 (MHPA). Conviction for . When a behavioral healthcare company stops growing its business, but revenue and profit margins continue to grow, that's a problem. Acadia was involved in approximately zero of those transactions. 21). He tries to keep his golf game in shape and is a loyal fan of his alma mater's Oklahoma Sooner football team.Disclosure: Katie Mikles (SeekingAlpha Contributor) and I are colleagues and partners from a journalistic and entrepreneurial standpoint as well as personal friends. The deficiencies led to a failure by the Company to: protect patients from sexual abuse; provide patient care in a safe environment; ensure its patients were adequately monitored; ensure its facilities were adequate(ly) staffed, adequately train and supervise its staff; and ensure incidents were properly reported to state and federal authorities." It was soon common for clinics and labs to charge more than $4,000 per test, and to test clients two or three times a week. 3. Attorneys Alan McGonigal and Jennifer Mankins represented the federal government in the settlement. Acadia has $6 billion in long-term assets and $3.4 in long-term liabilities, yet when the goodwill from purchases is removed from the books, the company's worth approaches $0. Acadia Healthcare Engaged Employer Overview 649 Reviews 76 Jobs 657 Salaries 49 Interviews 310 Benefits 1 Photos 229 Diversity + Add a Review Acadia Healthcare Reviews Updated Feb 27, 2023 Find Reviews Clear All Full-time, Part-time English Filter Found 636 of over 649 Sort Popular Popular COVID-19 Related Highest Rating Lowest Rating Most Recent Philadelphia, PA, Belmont Hospital. Courtesy: Acadia Healthcare. Since mid-August 2015, insider holdings have dwindled from 30% to less than 1%. The Medicaid Fraud Control Unit in West Virginia is the single entity of the West Virginia state government that is certified annually by the Secretary of the U.S. Department of Health and Human Services to conduct statewide investigations of healthcare providers that defraud the Medicaid program. I have been working at Acadia Healthcare full-time (More than a year). 1. labor relations violation. However, an expert in the industry says that Acadia has developed an industry-wide reputation for not providing quality care, cutting costs, and cannibalizing their own programs in order to raise profits. The Beginning: A Legislative Triple-Threat. Henderson, NV, Seven Hills Hospital. Interest rates. Medicaid fraud is not a victimless crime. 30% of Acadias revenue comes from the UK, but problems exist, such as: The shortage of nursing staff in the UK is cause for alarm bells. In many cases, the documents provided by ADHS show that when Oasis provided an acceptable plan of correction, the department did not conduct an on-site follow up survey, according to The Capitol Forum.