Seven Medical Labs Accused of Medi-Cal Fraud

  1. Nice! Kudos to the whistle-blower!!

    Seven private medical laboratories have defrauded the Medi-Cal program of hundreds of millions of dollars by systematically overcharging the state by as much as 400% for blood, urine and other lab tests, state Atty. Gen. Jerry Brown said Thursday.

    Brown plans to announce a civil lawsuit today against the companies, five of which are in Los Angeles. The suit aims to recover at least $100 million worth of the excessive charges paid by the program, which provides health services to the poor.


    http://www.latimes.com/news/local/la...,1221111.story
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  2. 6 Comments

  3. by   heron
    Hmph!

    I've said it before ... for every dollar scammed by a lowlife working the system, greedy vendors are stealing hundreds. Where is the outrage against them?
  4. by   Anxious Patient
    We all end up paying for fraud.

    Medicare and Medicaid lose an estimated $60 billion or more annually to fraud. (Miami Herald, August 11, 2008)

    People's Attitudes About Fraud.

    Consumers:

    • Nearly one of four Americans say it’s ok to defraud insurers, says a survey by the consulting firm Accenture Ltd.

    • Nearly one of 10 Americans would commit insurance fraud if they knew they could get away with it.

    • More than one of three Americans say it's ok to exaggerate insurance claims to make up for the deductibles.
    Physicians:

    • Nearly one of three physicians say it's necessary to game the health care system to make up for perceived reimbursement shortages. Journal of the American Medical Association (2000)

    • One of 10 physicians has reported medical signs or symptoms a patient didn't have in order to help the patient secure coverage for needed treatment.
    Vendors: statistics aren't in yet.

    Then there's all the other types of insurance fraud: auto, arson, disability, false claims, workers comp....
    Reading this could make an honest person feel like a sap.


    http://www.insurancefraud.org/stats.htm
  5. by   Atheos
    Heck,

    It ain't just insurance fraud. There's also a large amount of tax fraud and welfare fraud.

    Integrity is in short supply...
  6. by   Jolie
    Quote from Stanley-RN2B
    Heck,

    It ain't just insurance fraud. There's also a large amount of tax fraud and welfare fraud.

    Integrity is in short supply...
    (emphasis mine)

    Even in the President's Administration and Cabinet.
  7. by   BigIsleBound
    I totally agree that as far as fraud goes there is a lot more going on at the top than at the bottom. I've heard said that you can steal way more with a pen a briefcase than you can with a gun and getaway car.
  8. by   diane227
    Our tax dollars at work!!

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