Medicare said in a January letter that it accepted the fee based on the Scooter Store's own assessment of what it owed, but that the agreement "does not absolve the Scooter Store from any further liability." The company has paid about $5.7 million, with the rest scheduled for repayment over a 5-year period to be completed in 2017. The company said the government's estimate was flawed and that it was willing to repay $19.5 million in overpayments. The Scooter Store took no action to repay the money until February 2012, when the Health and Human Services' inspector general threatened to bar the company from doing business with Medicare, which accounts for about 75 percent of its income, according to its congressional testimony. In 2011, the latest review available, government auditors estimated that The Scooter Store received between $47 million and $88 million in improper payments for scooters. The Scooter Store settled that case in 2007 for $4 million.Īs part of the settlement, The Scooter Store was operating under an agreement that made the company subject to periodic government reviews between 2007 and last year. Justice Department sued The Scooter Store, alleging that its advertising enticed seniors to obtain power scooters paid for by Medicare, and then sold patients more expensive scooters that they did not want or need. "I see it as an inappropriate attempt to influence my clinical judgment when I'm evaluating a patient."Īllegations of Medicare fraud within the industry go back nearly a decade. But he said that sales representatives from some scooter companies put pressure on him by accompanying patients to his office. Jerome Epplin of Litchfield, Ill., who also testified before the Senate, estimates that only about one out of every 10 patients who ask him for a scooter actually needs one. One reason for the confusion? Doctors say scooter companies are just as aggressive with health professionals as they are in marketing to their patients.ĭr. and after our discussions, they don't understand that you can't get a power mobility device so mom can go to the park with the family," Peake said in testimony before the Senate Committee on Aging last year.
"I talk to a lot of physicians about this subject. Stephen Peake, medical director for the insurer Blue Cross Blue Shield in Tennessee, says doctors can often be as uninformed about the appropriate role of scooters as patients. Now I have a lot more mobility," said Tornabell, whose doctor recommended that he get the device.īut Dr. 2020) with engine L4 - 2."I couldn't really get out and do anything before.
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