WellCare was accused for falsely inflating expenditure information submitted to Florida Medicaid between 2002 and 2006. Money that was supposed to be used to provide medical services for Florida health care programs, WellCare kept for itself.

The U.S. Attorney’s office and WellCare Health Plans Inc. came to an agreement this year in order for WellCare to avoid fraud conviction. WellCare agreed to pay $80 million; $40 million in restitution to Florida agencies and $40 million in civil forfeiture. WellCare also accepts full responsibility for their actions, agreed to pay an independent monitor to review its operations, and agreed to fully cooperate with the government’s ongoing investigation.

WellCare has already paid $35.2 million, agrees to pay another $25 million by Sunday, and the remaining $19.8 million by the end of the year. As long as WellCare complies with all health care laws and regulations, the agreement can be cut down to two years from three.

The U.S. Department of Health and Human Services hopes that this agreement will serve as a warning to all committing or thinking of committing Medicaid fraud.

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