Judge Dismisses FCA Claims Against Psychiatric Hospital For Alleged ‘Psych Mill’

( October 2, 2023, 1:46 PM EDT) -- BATON ROUGE, La. — A Louisiana federal judge on Sept. 29 dismissed in part without prejudice a relator’s claims that a psychiatric hospital and related officials violated the federal False Claims Act (FCA) in a “psych mill” scheme by allegedly admitting patients based on Medicare coverage rather than medical need and extending Medicare patients’ stays based on purported false diagnoses, finding that the allegations fail to satisfy the materiality and particularity requirements of the FCA....