Livingston Regional Hospital has agreed to settle allegations of knowingly billing Medicare Part A for unnecessary psychiatric care.
According to the U.S. Department of Justice, the hospital will pay $784,000 for violating the False Claims Act.
Two whistleblowers will receive $156,800 as their share of the settlement.
Hospital employees reported the allegations occurred between July 9 and Oct. 31, 2015.
The DOJ states the claims settled are allegations only, and there has been no determination of liability.