Scooter Store execs dodge criminal charges

Thursday, May 12, 2016

NEW BRAUNFELS, Texas – The Justice Department will not bring criminal charges against former executives of the now defunct The Scooter Store, according to the San Antonio Express-News.

“Based on the results of a five-year investigation, the Justice Department does not believe it has sufficient evidence to prove criminal liability beyond a reasonable doubt as to senior managers at The Scooter Store,” said agency spokesman Peter Carr in an email to the newspaper.

The decision comes more than three years after federal and state agencies raided The Scooter Store as part of an ongoing probe into possible Medicare fraud.

The former chairman and CEO of The Scooter Store, Doug Harrison, denied any wrongdoing in an interview with the newspaper in January 2014.

A number of execs left The Scooter Store prior to the raid, including Mike Pfister, chief sales officer, in January 2012, followed by Harrison in March of that year, and numerous others.

The Scooter Store and its management had also come under scrutiny by Congress. In April 2011, when the company found about $32 million to $64 million in overpayments and agreed to pay back $19.5 million, a pair of U.S. senators wanted to know why CMS accepted such an agreement.

The Scooter store filed for bankruptcy in April 2013 and closed in September of that year.