Medical Workers Charged With Fraudulent Billing of Medicare, Medi-Cal
On Friday, authorities arrested two North Hollywood physicians and four clinic employees for allegedly performing tests and procedures on mentally ill homeless individuals and submitting fraudulent bills to government-run insurance plans, the Los Angeles Times reportsÂ Â (Girion, Los Angeles Times, 10/30).
According to the City Attorney's Office, workers at RSB Medical Group recruited Medicare and Medi-Cal beneficiaries and paid them $100 each. Medi-Cal is California's Medicaid program (Lin, Los Angeles Daily News, 10/29).
- Abdominal ultrasounds;
- Blood tests; and
- Other procedures.
Each physician saw 30 to 50 patients daily andÂ billed the government as much as $1,000 per patient, according to city officials (Los Angeles Times, 10/30).
The City Attorney's Office said RSB Medical Group billed Medicare and Medi-Cal about $5 million from December 2009 to June 2010.
Investigators said that in June, when Medicare stopped paying some claims, the physicians closed offices in one location and opened other offices under a different name to keep producing claims (Los Angeles Daily News, 10/29).
If convicted, the workers could face up to seven years in prison (Los Angeles Times, 10/30).This is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.