Wisconsin Attorney General J.B. Van Hollen announced today that seven Milwaukee residents have been charged with Medicaid fraud and identity theft related to payment of claims for durable medical equipment (DME).
The residents-Donnis Carrington, Lynnesha Craig dba Wisdom Medical Supply, Erica Danley dba Essential Services, Darius Jarrett, Elizabeth Thomas dba Direct Medical Services, Ericka Thomas dba Ericka’s Medical Supply, and Kimberly Thomas dba Cudahy Medical Supply-each allegedly filed fictitious claims for reimbursement for DME that was never provided to the identified Medicaid recipients.
The charges in the complaints against the seven defendants allege a total of 70 counts of Medicaid fraud and 57 counts of identity theft. The total amount claimed through such billings was $1.2-million.
According to criminal complaints, the defendants were engaged in a scheme to defraud the Wisconsin Medicaid program by the submission of claims for payment for the provision DME used for orthotic purposes.
The complaints allege that each of the seven had submitted applications to Wisconsin Medicaid to become DME providers. Each properly completed the application process and was granted a provider number and authorization to bill Medicaid for services provided. The claims that followed were primarily for halo cervical devices, tension scoliosis devices, and KAFOs. That equipment typically requires specialized medical treatment for installation and use so there should have been complementary claims from hospitals or physicians for the equipment claims. No such claims were filed, and further investigation revealed that the recipients for whom the devices were allegedly provided did not know the providers, nor did they have need for such orthotic devices.
This case is being prosecuted by Assistant Attorney General Thomas Storm.
