MEDICARE FRAUD INVESTIGATIONS-SHELL COMPANIES LATEST TARGET

Posted on February 7, 2012 by mgoldberg
This entry was posted in Blog Posts, Doctor Blog Posts. Bookmark the permalink.

According to recent Chicago Tribune investigation, for fiscal year 2010, “improper payments resulted in $48 billion in losses to the Medicare program, nearly 10 percent of the $526 billion. How much of those payments moved through shell companies remains unclear.  But recent indictments by Medicare indicates that shell-perpetrated fraud is pervasive.  According to one Medicare estimate, shell companies were involved in more than $1 billion.  Court records from various lawsuits demonstrate that shells have purported to provide services ranging from treating varicose veins to supplying prosthetic limbs.  ”These companies are nameless, faceless entities collecting billions in secret,” said Patrick Burns, director of communications for the advocacy group Taxpayers Against Fraud.