Feds Target Ambulette Fraud

U.S. Attorney’s office officials raided an ambulette company last month, the New
York Post
into Medicaid data on the services, and uncovered several ongoing state
investigations and multimillion-dollar costs.
the top of the Post’s list: Abraham Demoz, a
physician who runs Sunshine Medical Center in Canarsie, N.Y. The data revealed
that Demoz authorized nearly 111,000 one-way trips in 2009–the latest year
available–costing Medicaid $3.4 million.
ambulette services are non-medical transport companies that charge $25 to $35
per trip to ferry Medicaid patients to and from doctor’s appointments,
pharmacies and the like. However, investigators suspect some of the trips
authorized by Demoz and other physicians are to non-medical destinations.
regulators aren’t sitting on their hands on this one. New York health
department officials told the Post that they’ve handed Demoz’s
name to the Medicaid Inspector General for further inquiry. And the MIG just
last month demanded repayment of more than $430,000 from ambulette user
Interline Employee Assistance Program in Jamaica, a substance-abuse clinic
whose patients used $1.8 million worth of the transport services.