Noel Wayne Jhagroo, the owner and operator of a Houston-area durable medical equipment company has pleaded guilty to defrauding the Medicare program in a scheme to submit approximately $962,000 in fraudulent claims, according to a Department of Justice News release.
In his plea, Mr. Jhagroo admitted that he owned and operated a DME company called Trucare Medical Equipment Services and that he billed Medicare for equipment and supplies that were in most instances medically unnecessary or were never actually provided to Medicare beneficiaries.
Beginning in April 2004 and continuing through July 2009, Mr. Jhagroo admitted that he conspired with others to bill Medicare for enteral nutrition products that, according to Medicare regulations, were only to be used for patients who had feeding tubes inserted or surgically implanted in their noses, mouths or stomachs. Only one of the numerous Medicare beneficiaries for whom Mr. Jhagroo submitted bills to Medicare for such nutrition products had such a tube, according to the release.
In addition, Mr. Jhagroo admitted to billing Medicare for medically unnecessary orthotic devices, many of which were components of so-called Arthritis Kits. These kits, which included braces for both sides of the body as well as related accessories such as heating pads, were purportedly to be used for the treatment of arthritis-related conditions, even though the defendant admitted that he knew the kits were not medically appropriate for such conditions. Mr. Jhagroo admitted to billing Medicare approximately $4,000 per kit and to providing beneficiaries with inferior kits consisting of less expensive, lightweight neoprene sleeves, which were often of an improper size for the beneficiary.
Mr. Jhagroo also admitted that in Aug. 2004, he and a co-defendant agreed to a kickback arrangement whereby he would pay the codefendant in exchange for the referral of Medicare beneficiaries for whom he would supply DME, and then bill Medicare for the equipment through Trucare. Mr. Jhagroo admitted that the co-defendant would recruit Medicare beneficiaries for the purpose of filing claims with Medicare for DME that was medically unnecessary or was not provided.
Sentencing has been scheduled for Feb. 23, 2010.
Read the DOJ's release on the Houston DME healthcare fraud scheme.
In his plea, Mr. Jhagroo admitted that he owned and operated a DME company called Trucare Medical Equipment Services and that he billed Medicare for equipment and supplies that were in most instances medically unnecessary or were never actually provided to Medicare beneficiaries.
Beginning in April 2004 and continuing through July 2009, Mr. Jhagroo admitted that he conspired with others to bill Medicare for enteral nutrition products that, according to Medicare regulations, were only to be used for patients who had feeding tubes inserted or surgically implanted in their noses, mouths or stomachs. Only one of the numerous Medicare beneficiaries for whom Mr. Jhagroo submitted bills to Medicare for such nutrition products had such a tube, according to the release.
In addition, Mr. Jhagroo admitted to billing Medicare for medically unnecessary orthotic devices, many of which were components of so-called Arthritis Kits. These kits, which included braces for both sides of the body as well as related accessories such as heating pads, were purportedly to be used for the treatment of arthritis-related conditions, even though the defendant admitted that he knew the kits were not medically appropriate for such conditions. Mr. Jhagroo admitted to billing Medicare approximately $4,000 per kit and to providing beneficiaries with inferior kits consisting of less expensive, lightweight neoprene sleeves, which were often of an improper size for the beneficiary.
Mr. Jhagroo also admitted that in Aug. 2004, he and a co-defendant agreed to a kickback arrangement whereby he would pay the codefendant in exchange for the referral of Medicare beneficiaries for whom he would supply DME, and then bill Medicare for the equipment through Trucare. Mr. Jhagroo admitted that the co-defendant would recruit Medicare beneficiaries for the purpose of filing claims with Medicare for DME that was medically unnecessary or was not provided.
Sentencing has been scheduled for Feb. 23, 2010.
Read the DOJ's release on the Houston DME healthcare fraud scheme.