In order to settle allegations that the Scooter Store submitted false claims to Medicare, the New Braunfels, Texas company agreed to pay the federal government $4 million and forego another $13 million in Medicare payments. The payments resolve several lawsuits including a whistleblower complaint from a former Scooter Store employee. The whistleblower will receive $3.2 million from the government. According to the Department of Justice, “The Scooter Store engaged in a multimedia advertising campaign to entice beneficiaries to obtain power scooters paid for by Medicare, Medicaid, and other insurers…Instead of the ‘zippy’ power scooters that were advertised, the Scooter Store sold the beneficiaries expensive power wheelchairs that they did not want, need, and/or could not use.” ”This settlement is part of our ongoing commitment to fighting abuse of Medicare’s durable medical equipment benefit,” said Assistant Attorney General Peter D. Keisler.
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