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Tag: Department of Justice (DOJ)


News

Feds highlight fraud efforts for FY20

July 15, 2021HME News Staff

WASHINGTON – The Department of Justice opened 1,148 new criminal health care fraud investigations in fiscal year 2020, according to an annual report published this week. Federal prosecutors filed criminal charges in 412 cases involving 679 defendants. A total of 440 defendants were convicted of health care fraud-related crimes. The DOJ also opened 1,079 new civil health care fraud investigations and had 1,498 civil health care fraud matters pending at the end of fiscal year 2020. Investigative...

Department of Justice (DOJ), Fraud, Health Care


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News

Guilty plea entered for $424M fraud scheme

September 10, 2019HME News Staff

WASHINGTON - The owner and CEO of a telemedicine company has pleaded guilty to a $424 million conspiracy to defraud Medicare and receive illegal kickbacks in exchange for DME orders, the Department of Justice has announced. Lester Stockett, the owner of Video Doctor USA and Telemed Health Group, has pleaded guilty to one count of conspiracy to defraud the United States and pay and receive healthcare kickbacks, and one count of conspiracy to commit money laundering. In connection with his plea...

Department of Justice (DOJ), Fraud, Medicare, Orthotics


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Vendors

Pricing structure costs Respironics $34.8M

March 25, 2016Liz Beaulieu, Editor

MURRYSVILLE, Pa. - HME providers must now pay for automated resupply services from Respironics regardless of whether or not they buy the company's products. Respironics, one of the “big three” manufacturers of sleep therapy products, changed the pricing structure for medSage services to a per-patient, per-month fee for all providers, in the wake of a whistleblower lawsuit and investigation by the Department of Justice that has cost the company millions of dollars to settle. “As...

Department of Justice (DOJ), Respironics, Resupply


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News

Orbit agrees to $7.5 million settlement

May 28, 2015HME News Staff

WASHINGTON - Orbit Medical and its partial successor, Rehab Medical, have agreed to pay $7.5 million to settle allegations that it altered and forged physician prescriptions and supporting documentation for power wheelchairs and accessories, the U.S. Department of Justice announced today. Orbit Medical says it fully cooperated and offered full transparency during the DOJ's four-year investigation. “We are relieved to close this chapter and move forward growing our business,”...

Department of Justice (DOJ), Fraud, Lawsuit, Orbit Medical


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News

Gov't to Orbit Medical: We want our money back

April 15, 2014HME News Staff

WASHINGTON - The Department of Justice (DOJ) has intervened in a False Claims Act lawsuit against Orbit Medical and Jake Kilgore for allegedly altering and forging physician prescriptions and supporting documentation for power wheelchairs and accessories. On Oct. 23, 2013, a federal grand jury in Utah indicted Kilgore, former vice president and sales manager, on three counts of healthcare fraud, three counts of false statements related to health care and three counts of wire fraud. “The...

Department of Justice (DOJ), Fraud, Lawsuit, Orbit Medical


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Also Noted

Texas provider sentenced in $6.7M fraud scheme

June 19, 2013HME News Staff

WASHINGTON - The owner and operator of a Louisiana-based HME company received a 97-month prison sentence for his role in a $6.7 million Medicare fraud scheme, according to a press release from the Department of Justice (DOJ). On Dec. 13, 2012, a federal grand jury found Kenny Msiakii, of Houston, guilty of eight counts of healthcare fraud. Msiakii was the owner and operator of Joy Supply and General Services, based in Shreveport, La., a company that purported to provide orthotics and other HME, including...

CMS, Department of Justice (DOJ), Durable Medical Equipment (DME), Home Medical Equipment (HME), Joy Supply and General Services, Medicare


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Also Noted

Gov't, TENS provider resolve lawsuit

May 21, 2013HME News Staff

COLUMBIA, S.C. - The government and RS Medical, a provider of TENS units and orthotics supplies, have reached a settlement for more than $1.2 million to resolve claims that employees at the company submitted false claims for several products, according to a press release from the Department of Justice. The documents lacked physician orders, the required documentation and/or medical necessity, according to the DOJ. The investigation began in February 2011 when whistleblower Sally Balentine filed...

Department of Justice (DOJ), HME, Orthotics supplies, RS Medical, TENS Unit, U.S. gov't


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Strike Force takedown nets 89 medical professionals

May 15, 2013HME News Staff

WASHINGTON - The Medicare Fraud Strike Force has charged 89 individuals with about $223 million in false billings, according to a press release from the Department of Justice (DOJ) on May 14. Strike Force operations in eight cities resulted in charges against doctors, nurses and other licensed medical professionals for alleged fraud schemes involving, primarily, home health care, but also mental health services, psychotherapy, physical and occupational therapy, DME and ambulance services, the release...

CMS, Department of Justice (DOJ), Durable Medical Equipment (DME), Eric Holder, Home Medical Equipment (HME), Kathleen Sebelius, Medicare


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Former HME providers plead guilty to Medicare fraud

February 26, 2013HME News Staff

WASHINGTON ­- Two former owners of a Los Angeles-area HME wholesale company pleaded guilty to conspiring with their customers to defraud Medicare, according to a press release from the Department of Justice. Rajinder Singh Paul and Baljit Kaur Paul, the former owners of Major's Wholesale Medical Supply based in Redlands, Calif., entered guilty pleas in the Central District of California Court to one count of conspiracy to commit healthcare fraud. According to court documents, the Pauls sold power...

Department of Justice (DOJ), Fraud, Major's Wholesale Medical Supply, Medicare


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Gov't makes conviction on $6.7M fraud scheme

December 14, 2012HME News Staff

WASHINGTON - The owner and operator of Joy Supply and General Services in Shreveport, La., was convicted Dec. 14 by a federal jury for his role in a $6.7 million Medicare fraud scheme, according to a press release from the Department of Justice. Kenny Msiakii, 44, of Houston, was convicted of eight counts of healthcare fraud. He purportedly used Joy Supply's Medicare number to submit fraudulent claims to Medicare for HME, including medically unnecessary orthotic devices, which, in some cases, were...

CMS, Department of Justice (DOJ), Joy Supply, Medicare


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