Briefs

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Sunday, November 30, 2003

FBI seizes computers and files from World Med

BRICK, N.J. - The FBI in November seized files and computer equipment from World Med, a power mobility provider with mostly Medicare patients, according to the Asbury Park Press. The agency seized truckloads of records pertaining to a relatively new healthcare fraud investigation based on allegations that the company had fraudulently submitted Medicare claims, said a law enforcement source. Three search warrants were issued in connection to the investigation, two for World Med offices and a third for the home of a company official.
California provider pleads guilty to fraud

LOS ANGELES - A California man pleaded guilty in November to three counts of defrauding Medicare. Vasu Deo, 43, was charged with submitting claims for medical equipment that was never received by the Medicare beneficiary or was not medically necessary, according to the United States District Court in Los Angeles. He also is accused of paying kickbacks to physicians who signed off on the bogus equipment. Doe is the owner of Vasu Wheelchair Repair in Santa Monica. Through this company, Deo billed Medicare for approximately $2.7 million for power wheelchairs and accessories and hospital beds. He will face the maximum penalty of 25 years in federal prison.
Increased visibility bodes well for small provider

AUBURN, N.Y. - It’s time to add location visibility to the growing list of requirements for a successful HME business. Joe Manning, president of Homecare Medical Supply, said his retail business increased noticeably soon after the grand opening the company’s new location. Homecare Medical supply moved out of its strip mall location and into a 2,500-square-foot building, which includes a bigger showroom and improved storage. Manning said retails sales of equipment like lift chairs and scooters have increased 10% since the move. Homecare Medical Supply is a respiratory/DME business with four employees.

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