107 Charged in Medicare Fraud Crackdown

Doctors, nurses and social workers from across the country, 107 in all, were charged in what federal officials in Washington called a “nationwide takedown” of medical professionals accused of fraudulently billing Medicare out of nearly half a billion dollars. It is the highest in a single raid in the history of a federal strike force combating rising fraud in the medical industry, according to the Justice Department. Arrests were made in seven major cities.

In the Los Angeles area, eight people, including two doctors, were charged with fraudulently billing about $20 million for services never provided.

The owner of healthcare equipment provider Latay Medical Services in Gardena, was charged with billing Medicare for power wheelchairs that were never purchased. Greatcare Home Health in Los Angeles allegedly paid kickbacks to recruiters to find “patients” who were perfectly fine, and then have doctors knowingly write phony prescriptions for them.

Two doctors who treated patients at the Pacific Clinic in Long Beach, were among four individuals who allegedly falsely billed for feeding tubes for patients who did not need them.

Source: CBS