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Wednesday, June 20, 2012

Medicare-claims fraud suspected for penis pumps

A new report by federal auditors says a Kansas-based company may have paid out as much as $4.2 million in potentially fraudulent Medicare claims for penis pumps, and the auditors are asking the company to refund the government the money.

The Health and Human Services inspector general said it sampled 100 claims made with Pos-T-Vac, the Dodge City-based penis-pump manufacturer, and found improprieties in more than half of payments for what are known as “male vacuum erection systems.”

The errors ranged from the company’s failing to maintain proof that it delivered the pumps to customers, to one instance when the physician’s approval order wasn’t even signed by the doctor.  More

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