Corporate Compliance

Texas medical equipment supplier convicted of fraud

Compliance Monitor, January 23, 2008

A Texas medical equipment supplier was convicted on four counts of healthcare fraud and two counts of paying illegal kickbacks, according to a Department of Justice (DOJ) press release.

Florence Ubak-Offiong owned and operated Champion Medical Supplies from April 2002 to April 2004 in Sugarland, Texas. According to the press release, she purchased Medicare patient referrals and used the information to bill the patients for medical equipment. Ubak-Offiong supplied patients with motorized wheelchairs, but allegedly charged Medicare for more expensive models. According to the DOJ, Ubak-Offiong was paid $1 million by Medicare and Medicaid.

Ubak-Offiong faces up to 10 years in federal prison for the healthcare fraud violations and up to five years in prison for the kickback violations. A sentencing date has not been set.

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