The settlement follows a separate criminal conviction, for which the ex-exec has already been sentenced to prison.
Sandra Haar, the founder and former CEO of Horisons Unlimited, a nonprofit chain of rural health clinics in California's Central Valley, has agreed to sell 13 pieces of real estate to settle allegations that she submitted millions of dollars in false claims to the state's Medicaid program, Medi-Cal.
The civil settlement follows Haar's criminal conviction for fraud, which resulted in a five-year prison sentence earlier this month, according to the U.S. Department of Justice.
The properties to be sold include some of the former clinics that Horisons Unlimited had operated, plus several residences, the DOJ said.
"The purpose of public insurance programs like Medi-Cal is to provide essential services to those who need them, not to enrich bad actors who submit false and fraudulent claims," said U.S. Attorney Scott McGregor W. Scott in a statement. "We will continue to safeguard the integrity of these programs and the public fisc by recovering public dollars obtained through fraud."
Under the settlement with the Health and Human Services Office of Inspector General, Sandra Haar and a for-profit company she controlled won't be allowed to participate in federal healthcare programs for 20 years, and Horisons Unlimited Chief Financial Officer Normal Haar will be barred from the programs for 15 years.
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Steven Porter is an associate content manager and Strategy editor for HealthLeaders, a Simplify Compliance brand.