Shreveport Prosthetics agrees to pay $1.6M to resolve False Claims Act allegations

Acting United States Attorney Alexander C. Van Hook announced that Shreveport Prosthetics, Inc. (“SPI”) has agreed to pay $1.6 million, plus interest, to the federal government to resolve allegations that it violated the False Claims Act for false supplier billings to the Medicare program.

SPI is a Louisiana corporation that provides upper and lower extremity prosthetics to patients in north Louisiana. The civil settlement resolves allegations that when SPI’s supplier number was deactivated, SPI funneled its claims to Medicare through a supplier in Texas for services that were rendered by SPI in Louisiana.

SPI also routinely waived patient coinsurance amounts over a three-year period, resulting in Medicare being overcharged for the billed services. This lawsuit was initiated by former office administrator/billing specialist Kimberly Throgmorton under the qui tam, or whistleblower provisions, of the False Claims Act. Under the False Claims Act, private citizens can bring suit on behalf of the United States and share in any recovery.

Source: Shreveport Prosthetics agrees to pay $1.6M to resolve False Claims Act allegations / Shreveport Times

2 Responses

  • Shreveport Prosthetics is still committing this fraud, as of December 2020! This needs to be addressed immediately. They’re also committing fraud with the IRS by not filing taxes, and labor law violations by not paying employees. Multiple employees did not get paid and had to quit, and also Shreveport Prosthetics got another small business loan and still refuses to pay their former employees.

    • They won’t provide their employees with their W2 because they didn’t pay their CPA firm and now all former employees are without their W2.

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