BRIEF: CareSource sued for $2.5 million

May 27--A Cleveland-area pain clinic is suing CareSource for $2.5 million, alleging breach of contract for failure to pay about two years of claims submitted to the downtown Dayton-based health insurer.

CareSource, a nonprofit Medicaid managed care provider that contracts with various clinics and physicians' practices to provide medical services to its members, said it suspended payments to the plaintiff, Cleveland Back and Pain Management Center Inc., after its Medicaid provider status was suspended by the Ohio Department of Medicaid.

The pain clinic was disqualified as a Medicaid provider after it was indicted for fraud and other violations.

CareSource said in a statement that it "received a notice of suspension letter from the Ohio Department of Medicaid in March 2015 about allegations related to the Cleveland Back and Pain Management Center. Based upon this directive, CareSource took immediate action to suspend all payments to this provider. CareSource will defend itself in pending litigation."

An attorney representing the plaintiff in the lawsuit, filed in Montgomery County common pleas court, declined to comment.

___

(c)2016 the Dayton Daily News (Dayton, Ohio)

Visit the Dayton Daily News (Dayton, Ohio) at www.daytondailynews.com

Distributed by Tribune Content Agency, LLC.