FBI Medicare fraud cases a reminder: Federal health programs bleed taxpayer dollars
Friday, December 2, 2011 at 9:15AM
An elderly woman discusses swine flu vaccine with her healthcare provider in 1976. The federal government spent the equivalent of $500 million in today’s dollars, according to Time magazine. The vaccine had serious adverse effects and the government withdrew the nationwide initiative weeks after it began. (Centers for Disease Control and Prevention image)Build a healthcare program large enough to accommodate every senior citizen in a country as big and diverse as the U.S., and any organization would be challenged to manage the money that comes and goes.
When President Lyndon B. Johnson socialized healthcare for US seniors in 1965, the bill he signed was heralded as an example of bipartisan success.
Nearly half a century later, the Federal Bureau of Investigation has its hands full trying to recoup billions of dollars siphoned off by criminals who commit healthcare fraud.
Two recent cases exemplify the magnitude:
*In Baton Rouge, Benjamin Amadi was sentenced to 30 months, and he was also ordered to pay $632,500.31 in restitution, a $7,500 fine and a $100 special assessment. The court also ordered Amadi to forfeit an additional $632,500.31 in proceeds from his fraud scheme. Following his release from imprisonment, Amadi will be required to serve a two-year term of supervised release. Amadi’s scheme related to wheelchair sales.
*In Detroit, an occupational therapy ring submitted or caused the submission of fraudulent physical therapy and occupational therapy claims to Medicare. One perp, Vanessa Dowell, personally submitted or caused to be submitted approximately $807,760 in claims for occupational therapy services that were never provided.
These cases are not unusual. The Detroit (Mich.) area and southern part of Florida are magnets for Medicare fraud.
In the final years of President George W. Bush's administration, the Medicare Fraud Strike Force was born. Since that time, billions of dollars have been recovered successfully because of the FBI’s investigations.
Criminals who defraud Medicare are guilty of a moral crime against the elderly. Fraud re-directs healthcare collars into criminal enterprises.
Medicare is hard-pressed to survive escalating healthcare costs anyway. When the federal government took control of the insurance market for seniors, long term vision was missing as is often the case with federal programs. Furthermore, the elderly didn’t have a choice. Payroll withholding taxes for Medicare are mandatory for all private sector and many public sector workers.
(Op-Ed by Kay B. Day/Dec. 2, 2011)