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FBI Declares War on The Scooter Store

texas government fraud personal mobility devices medicare overbilled

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#1 Hum

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Posted 23 February 2013 - 14:33

Approximately 150 federal and state law enforcement agents launched a massive raid on one of the biggest perpetrators of government fraud in America: The Scooter Store. Yes, that's right. The nation's largest provider of single-person electric vehicles and power chairs is the target of a federal investigation, probably because many of the people who ride around their "personal mobility devices" don't actually need them.

In January, CBS This Morning ran a cutting exposé on the company, detailing how it "railroads" doctors into prescribing the chair for their patients, most of whom are on Medicare or Medicaid. That way they can bill the government for their highly dubious medical device, while the patient gets a cool new scooter without paying for it, and The Scooter Store makes a nice profit. Doctors and former employees told CBS that the company would harass physicians with non-stop phone calls and offices drop-ins in order to wear them down. The company even has a special department devoted to getting chairs for patients who had already been ruled ineligible by Medicare. No doubt the pressure comes because their ads guarantee that the chair will be free if they can't get you qualified.

The Scooter Store is so good at getting the chairs that a government audit found that they had overbilled Medicare by over $100 million between 2009-2012. It's no wonder their ads brag that "No other company will work harder to make you mobile."

FBI agents would not provide details on any crimes or possible charges behind the search warrant, but 1,200 employees of the company were escorted from the headquarters in New Braunfels, Texas, on Wednesday, and were not allowed back into today, as investigators continue to dig for clues.

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#2 Rohdekill

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Posted 23 February 2013 - 14:41

Perhaps they should be doing it like the pharmaceutical companies - place doctors on your staff to push your product and push medicare into providing it. The only difference I see is the doctors are missing out on their share of the cut in this case, which is probably what triggered the investigation.

#3 szo

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Posted 23 February 2013 - 15:08

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#4 tiagosilva29

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Posted 23 February 2013 - 16:02

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Game over.

#5 Mr Nom Nom's

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Posted 23 February 2013 - 16:35

You know this could have been stopped had the Republicans supported the original bill which ensured this kind of stuff didn't happen.

#6 Dot Matrix

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Posted 23 February 2013 - 17:07

'MERRICA!

#7 arachnoid

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Posted 23 February 2013 - 17:48

They should have a drive through at Macy Ds just for scooters :laugh:

#8 vetneufuse

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Posted 23 February 2013 - 18:08

*gasp* what? and here I thought Tom Kruse (yes with a K) sounded so legit and convincing on their commericals </s>

#9 OP Hum

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Posted 23 February 2013 - 23:22

How else will they carry around the extra 100 pounds of fat ....

#10 ThreadAbort

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Posted 24 February 2013 - 00:38

Fast food companies really should be the ones under investigation. This is out of control!

#11 Growled

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Posted 24 February 2013 - 00:55

I guess it's too late for me to ask for one? :p

Seriously, it's fraud like this that is the problem with our medical system. Everyone is greedy.

#12 OP Hum

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Posted 24 February 2013 - 00:57

^ I'd sell it to buy a better laptop. :shifty:

#13 Growled

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Posted 24 February 2013 - 01:03

^ I'd sell it to buy a better laptop. :shifty:


Or maybe a faster ride? :D

#14 Praetor

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Posted 24 February 2013 - 01:03

Never understood how is it normal for healthy people to ride on mobile scooters for shopping (is it laziness? i dunno) and overweight folks getting a scooter instead of exercise; i mean in my country is someone is overweight and has health problems normally the doctors prescribe healthy exercise and healthy food, promoting a more healthier lifestyle. Now it seems this dodgy company harassed physicians and committed fraud big time.

doesn't people like to use their legs anymore?

#15 vetneufuse

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Posted 24 February 2013 - 02:19

Never understood how is it normal for healthy people to ride on mobile scooters for shopping (is it laziness? i dunno) and overweight folks getting a scooter instead of exercise; i mean in my country is someone is overweight and has health problems normally the doctors prescribe healthy exercise and healthy food, promoting a more healthier lifestyle. Now it seems this dodgy company harassed physicians and committed fraud big time.

doesn't people like to use their legs anymore?


I wish places like walmart wouldn't have scooters in store for people... if you need one you probably have one! they just turn into a bunch of lazy people riding them, or teens goofing off with them.....