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re: Zachary lab owner faces Medicare, Medicaid fraud charges

Posted on 12/5/23 at 11:44 am to
Posted by redstickrick
Member since May 2019
332 posts
Posted on 12/5/23 at 11:44 am to
If they do this to medicare and medicaid imagine the absolute racket that they run on work comp and private insurers when it isn't even a federal crime. We are so screwed.
Posted by Porpus
Covington, LA
Member since Aug 2022
1664 posts
Posted on 12/5/23 at 12:33 pm to
Did he send the complete test results to the physician who ordered the tests? If so, then did none of these doctors ever wise up to what was going on and complain?

If that's true then I think there's some shared culpability there... maybe not enough to send anyone to prison, but certainly enough to kick some doctors out of Medicare. Some of them would have been receiving multiple unwanted test results back from this guy every day.
Posted by benson32
Member since Feb 2014
51 posts
Posted on 12/5/23 at 12:44 pm to
Because the doctors were likely getting kickback payments.
Posted by Porpus
Covington, LA
Member since Aug 2022
1664 posts
Posted on 12/5/23 at 12:48 pm to
quote:

Because the doctors were likely getting kickback payments.



Yeah, I saw something about kickbacks in a non-Advocate article I found. Seems to me, if all this guy got to do was fix up his truck and his pool, he must have spent an awful lot on those kickbacks.

Maybe he's cooperating with the feds, and they plan to charge the doctors who really made this scheme possible / collected the profits.
Posted by IamLSU02
Baton Rouge
Member since Feb 2013
107 posts
Posted on 12/5/23 at 12:50 pm to
This place is next door to my business. I remember watching federal agents going in an out of there carrying all sorts of boxes and items. I knew that it shut them down, but I never really knew what exactly happened.
Posted by chRxis
None of your fricking business
Member since Feb 2008
23651 posts
Posted on 12/5/23 at 12:54 pm to
beautiful house...
Posted by TheSadvocate
North Shore
Member since Aug 2020
3829 posts
Posted on 12/5/23 at 12:59 pm to
InRegister LINK

The more the merrier: No room or outdoor space is untouched by the Christmas spirit at the Zachary home of Heather and Brad Schaeffer

Posted by Master Guilbeau
Member since Jan 2013
1120 posts
Posted on 12/5/23 at 1:22 pm to
This exact same thing happened to a physician in Baton Rouge few years ago. I was engaged to his sister in law.
Posted by Rendevoustavern
Member since May 2018
1556 posts
Posted on 12/5/23 at 4:15 pm to
This is now illegal due to STARK laws.
Posted by Rendevoustavern
Member since May 2018
1556 posts
Posted on 12/5/23 at 4:19 pm to
Usually they are integrated into the physicians EM/HR. If the doc orders a 12 panel. Lab runs 22, sends the results on all 22, but the physician would only see the 12 unless they pulled up the entire lab report which shows up as an attachment on the patient chart.
Posted by Seeing Grey
Member since Sep 2015
591 posts
Posted on 12/5/23 at 5:20 pm to
quote:

If they do this to medicare and medicaid imagine the absolute racket that they run on work comp and private insurers when it isn't even a federal crime. We are so screwed.


The counter argument is medicare and medicaid is monitored by government agencies that are either incompetent or don't care and thus a much softer target.
Posted by selfgen
youngsville
Member since Aug 2006
1045 posts
Posted on 12/5/23 at 5:56 pm to
quote:

Original Medicare is an absolute joke. A complete waste of money unless you're one of the thousands of physicians, facilities or systems that abuse, fraud or overuse it to the tune of $100+ billion each year.


Exactly. That’s why Medicare pays these private insurance companies to enroll beneficiaries into their plans and thereby “privatizing”their Medicare. So in this case, the lab would be billing Humana or Blue Cross for example, instead of Medicare.
Posted by lsuoilengr
Member since Aug 2008
4779 posts
Posted on 12/5/23 at 6:01 pm to
The Taliban probably would have executed him which is fine by me…. Shame our legal system is so weak
Posted by jeffsdad
Member since Mar 2007
21468 posts
Posted on 12/5/23 at 6:26 pm to
quote:

In 2016, the U.S. Department of Health and Human Services alleged that the patients of the MedComp Sciences lab were in “immediate jeopardy,” based on a surprise inspection of the lab by federal employees in July of that year.

The Department of Health and the Centers for Medicare and Medicaid Services said in court filings that the Zachary company failed to refrigerate urine samples properly or correctly label the samples and also failed to ensure the samples were free from debris before testing, the Advocate reported then.


I don't understand how he ran the lab after 2016. The initial charges "failed to refrig urine samples properly, correctly label, and ensuring the samples were free from debris" can literally be found in every lab in the USA. An inspector can go through a thousand specimens and if one label was partially torn and part of id missing, then its a write up and the write up will always sound like you did this on every spec. Failing to refrig properly can literally mean you failed to write a sentence on one out of 15 urine tests in your procedure manual. Free of debris? Urine will accumulate "debris" before and after testing....maybe they simply didn't document a centrifugation.

Bottom line is that the CEO was stupid if he thought they weren't in the feds crosshairs. You get a surprise inspection from CLIA and you just bend over and take it and correct all the "mistakes". I've restarted several labs that were close to being shut down and one that was. It was eye-opening, but none of the labs in reality, turned out incorrect work.

But as far as improper billing etc. Sounds really bad.
Posted by Gorilla Ball
Member since Feb 2006
11764 posts
Posted on 12/5/23 at 6:26 pm to
Looks like sentencing up up coming, another trial it appears for collection of fee that his firm collected and this snake filed for bankruptcy.
Per the advocate
Posted by NewOrleansBlend
Member since Mar 2008
1024 posts
Posted on 12/5/23 at 6:27 pm to
Stealing $148 million dollars from us and will likely get minimal jail time. Absolutely disgusting. He should be forced to live in abject poverty the rest of his life
Posted by Townedrunkard
Member since Jan 2019
8957 posts
Posted on 12/6/23 at 7:09 am to
quote:

Health Care provides that defraud Medicare and Medicaid should be tossed in prison for LOOOOOONNNNNNGGGG sentences and non-violent drug offenders released. The damage done to society by the former is far greater than that done by the latter. The problem is there probably wouldn't be but about 5% of providers left in the country....the other 95% would be in jail


Home health is a huge scam in the hood. I know of a few specific cases in my area. The families live in huge two story houses and they have several luxury cars and suvs. They defrauded the govt for God knows how much. None of the family works, they have a ton of adult kids and they just bill the elderly but never do anything for the patients. They give a small kickback to patients family and dint show up for the work. Got caught, none of them did jail time and probably only paid back maybe 10% of what they stole. Probably less.

This post was edited on 12/6/23 at 7:10 am
Posted by tigerfoot
Alexandria
Member since Sep 2006
56447 posts
Posted on 12/6/23 at 7:17 am to
quote:

This is now illegal due to STARK laws.
they aren’t new and there are Docs all over the country that have labs in their office

Are is what you are referring a development specific to pain docs?
Posted by Rendevoustavern
Member since May 2018
1556 posts
Posted on 12/6/23 at 8:00 am to
No, a physician cannot have a high complexity CLIA cert, which is anything that runs requires a tech to operate. They can own a lab but cannot bill Medicare for services.

They can charge a cash rate and be fine.

Posted by Will Cover
St. Louis, MO
Member since Mar 2007
38591 posts
Posted on 12/6/23 at 8:24 am to
quote:

Brad Paul Schaeffer, 48, was a co-owner and CEO of MedComp Sciences in Zachary. Between January 2013 and August 2022, the company billed Medicare and Medicaid for the testing of 15 substances in all urine samples it received, regardless of the patient's medical history or what their medical providers had ordered, prosecutors said.



He must be friends with ...












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