Wednesday, July 9, 2008

New Medicare Fraud Revealed

Scammers have been using the Medicare ID numbers of deceased doctors in order to obtain over $76 million dollars by posing as medical suppliers. This article in the Arizona Republic states that the government found out about this fraud in 2001, and failed to take any action to prevent any further occurrences.

When the investigation took place, recorded from 2001 to 2007, revealed that 1500 deceased doctors names and Medicare numbers had been used to order the supplies. Those doctors whose numbers had been used had been dead from 12 months to 15 years.

Although the American Association for Homecare has been encouraging the government to set up a program that accredits suppliers, nothing has been done. However, a new ID system for doctors was put into place in May, and they had to re-enroll with new numbers. This should help cut down on the current fraud occurring.

Also, in an update from Monday’s post, Efiraim Diveroli has pleaded not guilty to the charges of fraud against the US Government and supplying arms to the troops Afghanistan. He is currently out of prison on bail according to this article at the New York Times.

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