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Home /Courts & Justice /Fraud & Corruption

Rockford Skilled Therapy Provider To Pay $1.5 Million To Settle Federal Health Care Fraud Suit

Settlements resolve allegations that BRYNWOOD MYOFASCIAL THERAPY and its current and former owners fraudulently billed Medicare.

U U.S. Department of Justice Wed 28 Feb 2024, 07:00 EST Updated 29 Oct 2026, 08:20 2 min read

CHICAGO — This is an official press release from the U.S. Department of Justice (Federal Bureau of Investigation (FBI)), published as received.

CHICAGO — A Rockford, Ill.-based skilled therapy provider and its current and former owners have agreed to pay $1.5 million to resolve civil allegations that the company violated the False Claims Act by falsely submitting claims to Medicare for purported physical and occupational therapy.

Settlements and consent judgments resolve allegations that BRYNWOOD MYOFASCIAL THERAPY LLC, its current owner, MALGORZATA ZASADNY, and its former owner, MARLA MONGE, fraudulently billed Medicare for (1) therapy services when the provider was actually out of the country, (2) physical therapy or occupational therapy when the services were performed by massage therapists rather than licensed physical or occupational therapists, (3) services performed by an occupational therapy assistant or physical therapy assistant when they were not properly supervised, (4) therapy services under improper codes to avoid caps on certain services, and (5) occupational and physical therapy when there were no licensed occupational therapist or physical therapist on site.

The settlements and consent judgments resolve a civil lawsuit filed in U.S. District Court in Chicago by a former employee of Brynwood Myofascial Therapy under the qui tam, or whistleblower, provisions of the False Claims Act.  The False Claims Act permits private citizens to bring lawsuits on behalf of the United States for false claims, and to share in any recovery.  The United States intervened in the lawsuit prior to the settlements and consent judgments.

As part of a settlement agreement and consent order entered by U.S. District Chief Judge Rebecca R. Pallmeyer, Brynwood Myofascial Therapy and Zasadny agreed to pay $953,959, while Monge agreed to pay $615,345.  The public is reminded that civil allegations are accusations only, and there was no determination of liability as part of the settlements and consent judgments.

The settlements and consent judgments were announced by Morris Pasqual, Acting United States Attorney for the Northern District of Illinois, Mario Pinto, Special Agent-in-Charge of the Chicago Division of the U.S. Department of Health and Human Services, Office of Inspector General, and Robert W. “Wes” Wheeler, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI.  The government was represented by Assistant U.S. Attorney Valerie R. Raedy.

Brynwood Myofascial Therapy order on consent judgment
Source

This report is based on U.S. Department of Justice (Public domain (U.S. government work, 17 U.S.C. § 105)). Read the original.

Charges and indictments are allegations; every defendant is presumed innocent unless and until proven guilty in a court of law. Sentences reflect the official record at the time of publication. Request a correction.

CybercrimeFalse Claims ActFederal Bureau of Investigation (FBI)Healthcare FraudNorthern District of IllinoisU.S. Department of Justice
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