Home Americair Accused of Medicare-Billing Fraud
The Justice Department has accused Home Americair Inc. of Medicare fraud in providing oxygen to home-based patients.
The agency, which recently joined a whistle-blower’s lawsuit filed in Los Angeles federal court, contends the Newport Beach-based company used unlawful billing practices in seeking Medicare refunds and falsified patients’ test results.
The company also allegedly trained its franchisees to defraud the government by, among other things, signing medical approvals that should have been authorized by physicians, the agency said.
The company and its attorneys in the federal action didn’t return calls seeking comment.
The government claims the company encouraged franchisees to cheat the system by improperly seeking oxygen therapy for Medicare patients.
The government seeks to recover unspecified civil penalties and damages.
The suit also alleges the company, in an effort to increase the number of patients who were eligible for home oxygen therapy, told franchisees to lower patients’ oxygen levels in the blood by squeezing a patient’s hand, pricking a finger, making patients exercise, or testing them while they slept.
The government joined a whistle-blower suit filed by former operators of a Louisville, Ky., franchise. The whistle-blowers also claimed the company suggested that franchisees pressure salespeople--by offering financial incentives and threatening termination--to sign up as many patients as possible for oxygen therapy.
