Section 140.15  Recovery of Money

a)         The Department may recover money improperly or erroneously paid, or overpayments (see subsection (b) of this Section for exception to recovery of money), either by setoff (deducting from Department obligations to the vendor or the designated alternate payee), deductions from future billings or by requiring direct repayment.

b)         If a practitioner designates an alternate payee, the practitioner and the alternate payee shall be jointly and severally liable to the Department for payments made to the alternate payee.  Recoveries by the Department may be made against either party or both, at the Department's option.

c)         The Department shall not recoup from any long term care provider any amounts subsequently determined to be owed by a client due to an error in the initial determination of medical eligibility.

d)         The Department shall recover interest on the amount of the overpayment at the rate of five percent per annum if it is established through an administrative hearing that the overpayment resulted from the vendor or the designated alternate payee willfully making, or causing to be made, a false statement or misrepresentation of a material fact in connection with billings and payments under the medical assistance program.  For purposes of this Section, "willfully" means making a statement or representation with actual knowledge that it was false, or making a statement or representation with knowledge of facts or information that would cause a reasonable person to be aware that the statement or representation was false when made.

(Source:  Amended at 31 Ill. Reg. 2413, effective January 19, 2007)