Feds charge CEOs, doctors in telemarketing scam that targeted Medicare recipients, costing taxpayers nearly $1 billion

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Feds charge CEOs, doctors in telemarketing scam that targeted Medicare recipients, costing taxpayers nearly $1 billion
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Federal government raids dozens of locations belonging to doctors and medical equipment companies suspected of taking part in a massive telemarketing scam that targeted Medicare recipients and cost taxpayers nearly $1 billion.

The federal government on Tuesday raided dozens of locations belonging to doctors and medical equipment companies suspected of taking part in a massive telemarketing scam that targeted Medicare recipients and cost taxpayers nearly $1 billion.

“Unscrupulous doctors, unscrupulous durable medical equipment company owners, these marketing firms, their only interest is in the paycheck -- is in that taxpayer dollar that's being stolen,” said Gary Cantrell, deputy inspector general for investigations of the Department of Health and Human Services Office of the Inspector General., involving more than 80 search warrants in 17 federal districts.

Without setting eyes on the patient or reviewing the patient’s medical history to determine if the brace was medically necessary, the doctor would submit a prescription to the call center and Medicare would be billed, federal officials said. The scheme did not go unnoticed by consumers. In the first three months of the year alone, a government hotline received nearly 1,800 complaints that investigators believe might be connected to the fraudulent sale of durable medicare equipment, according to the HHS Inspector General office.

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