Dallas pays nearly $2.5M over alleged false claims

DALLAS, TX U.S. Attorney James T. Jacks said Tuesday the city did not admit wrongdoing or liability by settling and cooperated with the investigation. The city also made compliance obligations to resolve alleged violations of the civil False Claims Act and Texas Medicaid Fraud Prevention Act.

The U.S. and Texas say Dallas told its contractor to code all 911-dispatched ambulances at the advanced life support level, which has a higher reimbursement rate than the basic.

The investigation resulted from a whistleblower suit by a former city employee, who can get up to 30 percent of the recovery.