TennCare provider agrees to $1.3M settlement

NASHVILLE, Tenn. (AP) -- The state attorney general says a Louisville, Ky.,-based company will pay $1.3 million to settle claims it overbilled TennCare for pharmaceuticals.

Attorney General Bob Cooper announced the settlement Thursday following an investigation into Kindred Healthcare Inc. and its associated corporation, PharMerica.

Kindred provides pharmaceuticals to TennCare patients in group homes and long-term care facilities throughout the state.

The state alleged that from 2003 to 2006, Kindred's facility in Knoxville billed the state's expanded Medicaid program for a higher number of pharmaceuticals than were actually administered to patients.

The state said Kindred denied any wrongdoing.

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