There is recently a news in New York Times that Twenty-three people, including nine physicians, have been indicted for their involvement in a $7 million healthcare fraud s cheme that involved rounding up homeless people in New York City and subjecting them to unnecessary medical testing in exchange for shoes.
Eric Vainer and his mother oversaw the operation. Mr. Vainer sent recruiters to homeless shelters, soup kitchens and welfare offices to pick up homeless people with valid Medicaid cards and take them to medical clinics that were involved in the scheme. Prosecutors said there were multiple ways Mr. Vainer made money through the scheme, as he owns medical clinics and had financial arrangements with physicians, according to the new in New York Times.
“We can use the same patients like guinea pigs for anything we want,” Mr. Vainer was recorded saying in a government wiretap, according to the report.m
Kenneth P. Thompson, the Brooklyn district attorney, told The New York Times the investigation began after a woman was recruited to one of the clinics involved in the scheme and was told she would have to take a knee brace to get a pair of sneakers.
Physicians involved in the scheme allegedly billed Medicaid for procedures that were never done and would bill for much longer patient visits than had actually occurred, according to the report.
So it is highly unethical practice doing the docs and this is a malpractice and giving bad signals to others.