Two California physicians have settled with the federal government for a total of $375,000 over Medicare fraud allegations involving "electroacupuncture" devices. Acting U.S. Attorney Michele Beckwith announced that Dr. Zachary J. Lipman of Chico paid $290,000, and Dr. Michael Woo-Ming of Murrieta agreed to pay $85,000 to resolve the claims, according to the U.S. Attorney's Office.
Riverside County chiropractor Kevin Brown and his companies received Medicare reimbursements for surgically implanted neurostimulators, though the procedure was not performed. Instead, they applied a Stivax device to patients' ears, which is not covered by Medicare. The U.S. Department of Justice stated that these actions "violated the False Claims Act and the Anti-Kickback Statute." Dr. Lipman allegedly received payments from Brown for patient referrals, and Dr. Woo-Ming's companies were accused of submitting false claims. The settlements resolve the claims related to these practices, as reported by the U.S. Attorney's Office.
"These physicians took part in a fraud scheme at the expense of hardworking taxpayers," stated Acting U.S. Attorney Beckwith, following an investigation by the U.S. Department of Health and Human Services, Office of the Inspector General. The investigation found attempts to improperly benefit from Medicare. Acting Special Agent in Charge Robb R. Breeden said, "HHS-OIG will continue to work with our law enforcement partners to protect the integrity of federal health care programs and those served by those programs." The case, overseen by Assistant U.S. Attorney Emilia P.E. Morris, resulted in settlements as part of ongoing efforts to address Medicare fraud, as stated by the U.S. Attorney's Office.
