One of the largest healthcare fraud schemes investigated by the FBI and HHS and prosecuted by the Department of Justice resulted in $1.2 billion in losses and charges against 24 executives of telemedicine and durable medical equipment (DME) companies.
Officials are also taking legal action against 130 DME companies that submitted over $1.7 billion in claims and were paid over $900 million.
The alleged scheme involved the payment of illegal kickbacks and bribes by DME companies in exchange for medical professionals to refer Medicare beneficiaries for medically unnecessary back, shoulder, wrist, and knee braces.
Source: HHS Charges Dozens in $1.2B Telemedicine, DME Fraud Scheme / Health Payer Intelligence