By Tanya Eiserer
The Dallas Morning News
Copyright 2006 The Dallas Morning News
Fraud investigators served 19 search warrants in Dallas and 11 other cities in a wide-ranging inquiry into allegations of fraudulent billing practices by ambulance companies, the Texas attorney general said Wednesday.
“This is a statewide fleecing of millions of dollars from Texas taxpayers of the Medicaid system,” said Attorney General Greg Abbott. “There were billings that were either for more than the amount of services provided, or even billings for services that were not provided. [The] bottom line is we have a statewide operation cracking down on Medicaid fraud.”
The investigation centers on ambulance companies suspected of submitting false claims to Medicare, Medicaid, private insurers and the Federal Employees Health Benefits Plan, said Jerry Strickland, a spokesman for the attorney general’s office.
The inquiry, Operation Easy Rider, began at least six months ago after the Texas Health and Human Services Commission reported discrepancies in billing practices, Mr. Strickland said. The agency oversees the disbursement of Medicaid funds.
“The fraud that we’re dealing with really doesn’t have anything to do with any kind of complexities that may exist in the system,” Mr. Abbott said. “We’re dealing with people who are just out and out cheating and lying to the state of Texas, stealing money from the taxpayers of the state of Texas.
“They thought, gosh, that [they] could take money by overcharging the state of Texas, overcharging the Medicaid system, maybe no one would see.”
Officials declined to release further details, citing the continuing investigation.
The attorney general’s Medicaid Fraud Control Unit was involved in the operation, along with federal agents from the inspector general’s office at the U.S. Department of Health and Human Services, the FBI, the inspector general’s office for the U.S. Office of Personnel Management, the U.S. Postal Inspection Service and the U.S. Department of Homeland Security.
North Texas ambulance companies that were searched included Carefirst EMS on Centre Street and Judd Court in Dallas; Greater Dallas EMS on South Hall Street in Dallas; All State Ambulance Service in Rowlett; Advicare Ambulance Transfer Service in DeSoto; and Visions EMS in Cedar Hill.
Officials with the ambulance companies either declined to comment or could not be reached for comment.
Mr. Strickland also confirmed that law officers arrested the owners of an ambulance service in McAllen, Texas, as part of the raids.