Federal prosecutors say a Maine ambulance company is entering into a settlement with the federal government and the state to resolve allegations of submitting false claims to Medicare.

U.S. Attorney Halsey Frank says County Ambulance of Ellsworth has agreed to pay nearly $17,000 in the civil settlement agreement. The company was accused of submitting the false claims to Medicare and MaineCare from January 2015 to April 2016.

A civil complaint states that County Ambulance used money from Medicare and MaineCare to pay salary and benefits of an employee who had been excluded by federal health care and MaineCare programs. Frank says the employee had been excluded after surrendering her license to practice as a pharmacy technician due to diversion of controlled substances.

Frank says County Ambulance cooperated with the investigation.

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