Being used to unknowingly aid in medical fraud: More than 80 medical-equipment companies received a less-than-merry notice right before the holidays when Allstate Insurance Company filed a $6.3 million lawsuit to recover money it paid out for durable medical equipment, supplies, and orthotic devices. According to the complaint, retailers (and their owners, in conspiracy with wholesalers) submitted misleading and fraudulent bills using customers' personal-injury-protection benefits.
And in February, 20 individuals -- including three doctors -- were charged for allegedly bilking the government out of $200 million in Medicare costs for mental-health services. The elaborate scheme involved officials at community health centers paying kickbacks for patient referrals and billing Medicare for care that was not necessary, and in many instances, never provided. And Medicare wasn't the only victim. The patients who unknowingly were used to bilk the government were from halfway houses and assisted-living facilities.