In a substantial settlement, Courtesy Transport Services, LLC, alongside its owners Melanie Burger and Dr. John Milanick, have agreed to pay $900,000 to resolve accusations of defrauding Medicare and Medicaid with claims for non-emergency ambulance rides that were deemed unnecessary or were never provided. This agreement comes as a closure to allegations that hung over the company and its leadership, detailing a misuse of vital healthcare funds between June 1, 2013, and June 30, 2019.
Investigations discovered that the company submitted claims for basic life support ambulance services not backed by medical necessity. Acting Special Agent in Charge Rolando Alvarez of the Department of Health and Human Services Office of Inspector General said, "When health care providers bill Medicare for medically unnecessary services, they not only misuse critical resources meant to care for beneficiaries, but also increase the financial burden on taxpayers." In light of these events, Courtesy and Burger's payments are shaped by their cited capacities to pay.
The lawsuit's roots trace back to claims made by Jonathon Whitmore, a whistleblower and former employee of Courtesy, under the False Claims Act. This legislation empowers individuals to sue in the interest of the government regarding fraudulent claims and to share in the financial returns upon a successful resolution. Whitmore is set to receive around $171,000 of the settlement proceeds, a gesture that underscores the weight of his allegations and the role he played in triggering the inquiry.
The case, firmly situated within the legal constraints of the Middle District of Florida, was facilitated through collaborative efforts from various agencies including the U.S. Attorney’s Office, Florida’s MFCU, and HHS-OIG. Managed by Assistant United States Attorney Carolyn Tapie and MFCU Deputy Director of Civil Enforcement Cedell Ian Garland, this team spearheaded the investigation, which led to the hefty settlement. Despite the settlement, it is critical to recognize, as noted in the Justice Department's announcement, "The claims resolved by the settlements are allegations only, and there has been no determination of liability."
