Article - June 7, 2008 - Mansfield News Journal

Federal fraud probe targets artificial leg maker in Mansfield

By Linda Martz

MANSFIELD -- Federal investigators seeking evidence of Medicare fraud have served a search warrant on a Mansfield-based business that makes prosthetic legs.

U.S. District Court documents indicate a federal contractor conducting an audit of Mansfield Orthotic and Prosthetic Centers Inc., 240 Marion Ave., discovered the local business was billing the highest amount per Medicare beneficiary across seven states for lower limb prosthetics.

TriCenturion, a contractor for the Centers for Medicare and Medicaid Services, said MOPC was reimbursed $1.67 million for prosthetic services for 19 months ending July 31, 2006. TriCenturion estimated $1 million in Medicare overpayments for that period, according to court documents.

Eric S. Howe, special agent for the U.S. Department of Health and Human Services, Office of the Inspector General, obtained a search warrant from a U.S. District Court magistrate in Akron. Billing records, sign-in sheets, patient files and computer data were seized in a search of the business last month.

Don White, a spokesman for the Department of Human Services-OIG, said he could not comment on whether the agency plans to file criminal charges as a result of the search.

"It's the Office of Inspector General's mission to look for waste, fraud and abuse," he said.

As of Friday, no criminal charges had been filed in federal court. Mansfield Orthotic's owners could not be reached for comment.

David Hoy is majority owner of the business, and Hans Georg owns 33 percent, according to court records. The business, which specializes in lower-limb prosthetics, dates to 1956.

In his affidavit, Howe told the court TriCenturion contacted Health and Human Services in January alleging Mansfield Orthotic submitted false claims to Medicare.

After TriCenturion requested 10 complete patient files, the contractor found invoices that didn't coincide with services provided, or had some patient or employee names covered with correction fluid, the affidavit said.

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