Outreach Medical, Inc., the Rock Island, Illinois, vendor for home health supplies, medical equipment, diabetic supplies, hospital beds, wheelchairs and more, is charged with vendor fraud. The Illinois Attorney General Lisa Madigan’s office charged Outreach with a Class 1 felony, alleging they tendered fraudulent billing invoices to the State of Illinois for reimbursement from the Illinois Department of Healthcare and Family Services.
In Illinois, an individual convicted of a Class 1 felony faces four to 15 years in prison.[i] The case was filed with the office of the Rock Island County State’s Attorney, and the attorneys from the Attorney General’s office who specialize in fraud litigation will prosecute the case in Rock Island County Circuit Court.
Vendor fraud, in Illinois, under the Illinois Public Aid Code states in pertinent part as follows:
“Vendor Fraud and Kickbacks. (a) Any person, firm, corporation, association, agency, institution or other legal entity that willfully, by means of a false statement or representation, or by concealment of any material fact or by other fraudulent scheme or device on behalf of himself or others, obtains or attempts to obtain benefits or payments under this Code to which he or it is not entitled, or in a greater amount than that to which he or it is entitled, is guilty of a violation of this Article and shall be punished as provided in Section 8A-6.” 305 ILCS § 5/8A-3
In this case, like many, the entire corporation is charged as the corporation is itself named as the defendant. As investigations and discovery continues, the State’s Attorney may amend the suit to name the individual defendants leading to the vendor fraud by submitting false billing invoices.
In some cases, billing fraud by vendors occurs when service providers and suppliers submit billing for services tendered to patients who either never saw the doctor or for services never rendered to patients who did see the doctor for other reasons. In any case, fraudulent submissions for Medicare and Medicaid are strongly prosecuted.
Michael V. Favia and Associates work with Medicare and Medicaid fraud matters.
The attorneys at Michael V. Favia and Associates work with litigants in Medicare and Medicaid fraud cases. With offices conveniently located in the Chicago Loop, Northwest side and suburban meeting locations, you can schedule a meeting with an attorney at your convenience. For more about Michael V. Favia & Associates, please visit the firm’s website and feel free to “Like” the firm on Facebook and “Follow” the firm on Twitter.
[i] Illinois Compiled Statutes, Class 1 Felonies, 730 Ill. Comp. Stat. § 5/5-4.5-30.
