Friday, September 19, 2008

8 arrested for alleged $33-million SoCal fraud







Thursday (09-18) 16:56 PDT Los Angeles, CA (AP) --

Eighteen people in the Los Angeles area are accused of filing more than $33 million worth of phony Medicare bills.



Federal authorities say they arrested the suspects Thursday after the FBI searched six locations, including a clinic in South Los Angeles. Those arrested include clinic owners, medical professionals and owners of medical equipment companies.

Eight federal indictments allege they submitted bills to Medicare for unnecessary medical equipment, including motorized wheelchairs and hospital beds.

The charges include submitting false claims and conspiracy to commit health care fraud. Some of those charged with multiple crimes could face dozens and even hundreds of years in prison if convicted.

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