Department of Health and Human Services Secretary Mike Leavitt announced a two-year effort designed to further protect Medicare beneficiaries from fraudulent suppliers of durable medical equipment, prosthetics, and orthotics supplies (DMEPOS). The new initiative will have immediate effect in South Florida and Southern California--two regions of the country where there is a high concentration of suppliers--and is focused on preventing deceptive companies from operating in those regions. Based on the results of the project, it could be expanded nationwide.
Miami and Los Angeles have been identified as high-risk areas when it comes to fraudulent billing by DMEPOS suppliers. HHS, working with the Department of Justice, formed a Medicare fraud strike force made up of federal, state, and local investigators to combat fraud through the use of real-time analysis of Medicare billing data. In three months, 56 individuals have been charged in the Southern District of Florida with fraudulently billing Medicare for more than $258 million. Read the fact sheet.