Thursday, December 31, 2009
Compliance Standards for Consignment Closets and Stock and Bill Arrangements
I. SUMMARY OF CHANGES: The purpose of
this change request is to define and prohibit certain
arrangements where an enrolled supplier of durable medical equipment,
prosthetics, orthotics, and supplies (DMEPOS) maintains inventory at a practice location which is not owned by the enrolled
DMEPOS supplier, but rather, owned by a physician, non-physician practitioner or other health care professional for the purpose
of distribution, commonly referred to as a consignment closet and/or stock and bill arrangement.
In
addition, this change request will instruct physicians, non-physician practitioners or other health care professional’s
practices that use of consignment closets and/or stock and bill arrangements (as defined above) must be in compliance with
current standards.
Hopefully, this will discourage some doctors that still live in the 80’s
and want “rent for referrals”. It sickens me to see physicians trying to dip in every pot to make a buck
these days. They prescribe for a profit.
Seventh Street Medical Supply, stocks
hundreds of braces in our warehouse, not just a small coat closet of profitable items.
I also hope it will discourage companies like DonJoy that are known to stock doctors’ offices with braces and
either pay rent or show the doctors how to bill for these items.
What bothers me even
more is when patients come to my office with a prescription from a particular office or group that I know stocks their own
medical equipment. The only reason the person is at my office is because the reimbursement is either so low and there
is not enough profit to be made by the physician’s office or the patient has no dme coverage. So, they ship
them on their way and then tell their patient to go to a local medical supplier.
Thanks
for nothing doc…
Leave the medical equipment for suppliers like myself to
fit and explain the equipment properly all the time, not just when it suits you. If we don’t have the proper size
or product we will order it, not just grab whatever is in “The Closet”.
Andy
Scolnick, VP
Seventh Street Medical Supply, Inc
307 E. Pennsylvania
Blvd.
Feasterville, PA 19053
(215) 396-2450
www.seventhstreetmedicalsupply.com
info@seventhstreetmedicalsupply.com
6:21 pm est
Wednesday, December 16, 2009
Couple charged in leading Medicare equipment fraud
Here is another reason why Medicare
is in shambles.
Our
current system needs to be reformed in some capacity. But, we need to take a couple steps back and see what the real problems
are first. There is way too much FRAUD and ABUSE going on in this industry.
Lowering prices
on medical equipment, capping products and stopping patients from their right to choose which medical supply company that
they want to use is not the answer.
Here is another black eye to our industry.
Robert Saul and his wife allegedly thought they could get rich by
giving people expensive power wheelchairs and other medical equipment - equipment they didn't need - and falsely billing
Medicare.
And they thought
they had their bases covered by allegedly telling baffled recipients that Philadelphia was giving out $3,200 wheelchairs for
free, or having sources in doctors' offices intercepting phone calls from confused patients.
But the alleged scheme fell apart, according to U.S. Attorney Michael
L. Levy.
Saul, 36, and his
wife, Sheila, 51, were charged yesterday by the U.S. Attorney's Office with defrauding Medicare and other programs by
submitting more than $1.2 million in bogus claims.
Saul and his wife, who both live in Philadelphia, own R&V Medical Supplies, which is located on the
11th floor at 1420 Walnut St., in Center City. The company is still in business.
The Sauls did not respond to requests for comment yesterday.
Also charged yesterday were Lisa Burnett, 40, of Philadelphia, and Carol Mason, 57, of Norristown.
Burnett and Mason worked at a Philadelphia nonprofit
that provided service to seniors and the disabled. They allegedly provided the Sauls with client information that was used
to bill Medicare for unneeded medical supplies, and for which they were paid kickbacks.
In separate court filings, Susan Landolf, 27, and Debra Stallings,
43, both of Philadelphia, also were charged with participating in the scheme. Landolf worked at a medical clinic and then
at R&V. Stallings worked at a private medical practice. Since they were charged in criminal informations, it is likely
they have negotiated guilty pleas.
"This case involves breaches of trust at every level: From the medical office employees who sold patients'
identity information, to the people charged today who used the Medicare Trust as their personal ATMs," Levy said.
"Any Medicare beneficiary who gets equipment
that they know nothing about, or who sees payments for equipment on their explanations of benefits that they do not recognize,
should contact the number on the explanation of benefits forms immediately to report it," Levy said.
Andy Scolnick, VP
Seventh Street Medical Supply, Inc
307
E. Pennsylvania Blvd.
Feasterville, PA 19053
(215)
396-2450
www.seventhstreetmedicalsupply.com
info@seventhstreetmedicalsupply.com
11:22 am est
32 accused of $60M in Medicare fraud in 3 states

This is why our healthcare is in shambles. It is people like this that need to be banned from doing any type
of business in the healthcare profession. A slap on the wrist is not acceptable.
FORT LAUDERDALE, Fla. — Federal agents arrested 26 suspects in three states Tuesday, including
a doctor and nurses, in a major crackdown on Medicare fraud totaling $61 million in separate scams.
Arrests in Miami,
Brooklyn and Detroit included a Florida doctor accused of running a $40 million home health care scheme that falsely listed
patients as blind diabetics so that he could bill for twice-daily nurse visits.
The U.S. Department of Justice and U.S.
Department of Health and Human Services said the indicted suspects lined up bogus patients and otherwise billed Medicare for
unnecessary medical equipment, physical therapy and HIV infusions.
Indictments were issued for 32 people in all, but
the status of the other suspects wasn't immediately known.
Miami Dr. Fred Dweck, along with 14 people with whom
he worked, was accused in an indictment of running a scam to tap a Medicare program that pays very high rates to care for
the sickest patients.
Dweck referred about 1,279 Medicare beneficiaries for expensive and unnecessary home health and
therapy services, bribing the owners of two Miami clinics to join the scam. He also faked medical certifications, according
to the indictment.
A telephone listing for Dweck could not be found and it was unclear if he had a lawyer.
"No
matter what type of fraud is committed, there is one common denominator and that denominator is greed," Assistant Attorney
General Lanny Breuer said. "Medicare fraud is not a victimless crime. It hurts every American taxpayer by raising the
cost of health care."
The raids come a week after a report that Miami-Dade County received more than half a billion
dollars from Medicare in home health care payments intended for the sickest patients in 2008, which is more than the rest
of the country combined, according to a report by the Department of Health and Human Services' Office of Inspector General.
Medicare paid the county about $520 million, even though only 2 percent of those patients receiving home health care live
here.
In Detroit's raids, suspects paid recruiters to find patients willing to feign symptoms to justify expensive
testing, including nerve conduction studies, federal authorities said.
A mother and son were charged in Brooklyn with
billing Medicare $246 per patient for expensive shoe inserts reserved for diabetes patients, even though they only provided
cheap, over-the-counter versions.
Including Tuesday's arrests, a Medicare Fraud strike force formed by the Justice
and Health departments has now charged suspects accused of bilking Medicare of more than $1 billion in less than two years.
The
pilot strike force, which started in Miami in 2007, has indicted more than 460 suspects in Medicare fraud scams. The program
is now in Los Angeles, Houston and Detroit. HHS Secretary Kathleen Sebelius also announced Tuesday the operation will expand
to Tampa, Fla., Baton Rouge, La., and Brooklyn.
Cleaning up an estimated $60 billion a year in Medicare fraud will be
key to President Barack Obama's proposed health care overhaul. HHS and DOJ have promised more money and manpower to fight
the fraud.
Andy Scolnick, VP
Seventh Street Medical Supply, Inc
307 E. Pennsylvania Blvd.
Feasterville, PA 19053
(215) 396-2450
www.seventhstreetmedicalsupply.com
info@seventhstreetmedicalsupply.com
7:49 am est
Saturday, March 28, 2009
Think twice before buying a power chair or scooter from the “Scooter Store” or any “Pride Mobility Product”
I just received a letter from the CEO and Founder
Of the VGM Group, Van G. Miller.
It
is about time someone with Mr. Miller’s status and position spoke up and starting calling companies out on their actions.
Any consumer out there that
is in the need of any type of power mobility product, may it be a scooter, electric wheelchair, or a custom power chair, you
better think twice before purchasing one from the SCOOTER STORE. They are also the new owner’s of a company
called ALLIANCE SEATING AND MOBILITY.
The Scooter Store commercials look good on TV. The
Scooter Stores “Claim to Fame” is they will do all the paper work for you and have a power chair delivered to
your home at no cost to you.
I already posted in my last Blog about the downside of receiving medical equipment from locations other than your local reputable medical
supply company. The story is the same here; when you need service, you will be looking real hard for help.
The salesman’s tactics and sales pitch from these companies are very convincing. It’s almost
like you are purchasing a resort timeshare, but I assure you… there are no incentives for you in this deal.
What you also might not
know is the Scooter Store has recently made a $17 million False Claims Act “settlement”. If they
agreed to settle for 17 million dollars, I can’t imagine how much money this company has swindled out of Medicare and
all consumers who have received products from the Scooter Store.
WHO PAYS FOR THIS
TYPE OF CONDUCT, WE ALL DO!
The Scooter Store just paid their fine, moved on and in
my opinion have not changed any of their questionable tactics.
Why Medicare, Medicaid Beneficiaries and any insurance program
still accept billing claims from these two companies is beyond my belief. To all consumers out there, I suggest
you think twice before picking up your phone and dialing the Scooter Store or Alliance Seating and Mobility.
Now, to all HME dealers,
WAKE UP, SMELL THE COFFEE AND TAKE YOUR HEADS OUT OF THE SAND.
We knew which company has been supplying the Scooter Store. We have heard it for
years now from every salesman that sells us scooters and electric wheelchairs. “PRIDE MOBILITY”
I always knew it was Pride Mobility that was selling to the Scooter Store under a no name product. I admit,
I also looked the other way for years. I have walked into Pep Boys and BJ’s and have seen Pride Mobility products.
They completely cut our throat and undersell us on one end
and have the audacity to send their reps into our facilities to also buy from them for a more inflated price.
But now, we are in a different and difficult time in our industry, “Competitive
Bidding”. The bottom line is Pride Mobility has helped the Scooter Store win bids in all areas
where it has become implemented. Many companies have already gone out of business.
I
suggest we choose carefully who we buy our products from. I can tell you that Seventh Street Medical Supply,
Inc will not be purchasing anything from Pride Mobility. I have completely removed all of their equipment from
my catalog. I will only deal and support companies that will work with me and not undercut me at the same time.
We as HME dealers
should take a stance and let it be known that we won’t be fooled any longer.
Mr. Miller, Thank you!
To see Van G. Miller’s letter “Who is on your side”? Click here.
Good
Luck to everyone!
Andy Scolnick, VP
Seventh Street Medical Supply, Inc
307 E.
Pennsylvania Blvd.
Feasterville, PA 19053
(215) 396-2450
www.seventhstreetmedicalsupply.com
info@seventhstreetmedicalsupply.com
4:44 pm est
Saturday, March 21, 2009
Always purchase respiratory equipment from a local reputable medical supply company.
I don’t
care how much money you can save by buying equipment through a basement internet site! DON’T
DO IT…
It’s not worth it… There are too many factors and possibilities of malfunction
that go wrong with this type of equipment. I personally see it every day!
·
The hours on units can be reset or replaced. You
have no way of knowing if it is new or used.
· Items like this are recalled and updates are needed that manufacturers offer. Every
unit that leaves our facility is serialized in case of any type of recall or retrofit that needs to be done. Only
certified dealers will get these notices.
· Oxygen & CPAP equipment need to be calibrated and checked by a professional technician on a regular basis.
Our office uses and internal diary system to do this task.
·
With CPAP & BIPAP patients, your settings may need to be changed within
a week after you receive your new unit. If your unit was received over the internet, now what are you going
to do?
· 4 out
of 5 patients don’t like the original CPAP mask they were supplied with. Our company offers a
return policy.
· Just recently,
a major CPAP company that I deal with had bad motor fans. I did not find this out until calls started to
come in from our patient’s complaining of a weird loud noise that was coming out from their unit. The
whole shipment of CPAP & BIPAPS that were sent across the country was bad! Our company was able
to replace these units at our patient’s home the same day. There is no way possible any “basement
internet company” could do that for anyone. They do not have the recourses available and they have
no technical education on this type of equipment to trouble shoot any issues. In my opinion, they could
care less. It’s all about the initial sale and the buck stops there.
·
All oxygen concentrators have internal filters that need to be changed
on periodic intervals. Our patient’s are set on a diary system and serviced per the individual
manufacturer guidelines.
· ATTENTION
ALL OXYGEN PATIENTS THAT HAVE CONCENTRATORS; Just because you feel air coming out of the nasal cannula, doesn’t mean
you are getting the proper oxygen in your system. Our company uses analyzers’ that measure the
purity and pressure of oxygen coming out of the units. On routine basis these things are checked and filters
are replaced. How can any “internet based company” do this for you or a loved one,,,,,,
they can’t!
· I get calls
every day at all hours of the day from oxygen and CPAP patients with technical questions and issues. Some
of those questions are solved immediately over the phone and some need immediate assistance at the patient’s home.
No “internet based company” has 24 hour service for in-home emergency services. They
might be able to take a new order, but that’s it.
· Recently, an oxygen patient came to my office with a regulator he purchased on ebay. He asked
me to look at it for him. It so happens, it was a regulator that in 2001 was recalled by the FDA.
8 years later this item was still circulating around. How it found its way on ebay, I can’t
imagine.
I
have based this blog solely on respiratory equipment, but I assure you it doesn’t stop there.
I see scooters and power chairs everyday on
the internet. What you might not realize is that they also have recalls and optional retrofits that are
needed. There is always some sort of issues with power chairs and scooters. They are
used every day and take a beating. I guarantee you that if you purchase a power vehicle on the internet you will never get
any notice that your item needs service. Several years ago, a major reputable company in our industry that
sells power mobility equipment had a recall on their “Tiller Throttle Control”. The throttle
control is the part that you use with your right and left thumb to go forward and backward. It works on
a spring. Well, the spring was breaking, and needless to say, people were smashing into the walls.
Our company was contacted by the manufacturer with all the serialized scooters that were sent to us. We
were provided all the parts to replace with a new designed spring and PAID by the manufacturer to replace these parts to make
the units safe again. Our company was able to complete this task swiftly before any of our patients were
injured. There is no way any “internet based company” has the recourses or knowledge to have
done what we did.
I
can’t stress enough; you need to purchase medical equipment from your local reputable medical supply company.
You owe it to yourself or a family member to at least stop by a neighborhood shop and learn about the ins and outs
of the item you’re interested in before the big buy.
If you want to save money by buying something on the internet, buy a pair
of shoes!
Seventh
Street Medical Supply, Inc has been in business for over 25 years! We are accredited by The Joint Commission
for a reason, WE CARE ABOUT YOU AND WHAT WE DO FOR A LIVING.
Good Luck!
Andy Scolnick, VP
Seventh Street Medical Supply, Inc
307 E. Pennsylvania Blvd.
Feasterville, PA 19053
(215) 396-2450
www.seventhstreetmedicalsupply.com
12:06 pm est
Sunday, November 30, 2008
Never buy medical equipment, especially respiratory equipment on the internet.
Never
buy medical equipment, especially respiratory equipment on the internet. Always purchase items from a local
reputable medical supply company. Look for a company that is accredited by the Joint Commission (JCAHO). I have seen and heard too many internet horror stories. In my opinion, buying medical equipment on the
internet is like jumping in the ocean with a bunch of hungry sharks!
Andy Scolnick, VP
Seventh Street Medical
Supply, Inc
11:43 am est
Monday, August 4, 2008
HELP BRING AWARENESS
Being in this business for over 25 years, I have been supplying medical equipment to thousands of patients’
with all different types of illnesses, diseases and injuries.
Recently,
some of these illnesses have hit home. Last year my father had a heart attack, my mother was just diagnosed
with Breast Cancer and my close friend’s sister has been battling lung cancer.
Seventh Street Medical Supply is committed to fighting these causes and raising awareness
of these diseases. As part of our mission, we ask for your support in recognizing these devastating illnesses.
Together,
we can win this battle.
To learn more, select any one of the causes below.
American
Heart Association:
Heart Attack Warning
Signs
some
heart attacks are sudden and intense — the "movie heart attack," where no one doubts what's
happening. But most heart attacks start slowly, with mild pain or discomfort. Often people affected aren't sure what's
wrong and wait too long before getting help. Here are signs that can mean a heart attack is happening:
- Chest discomfort. Most heart attacks involve discomfort in the center of the chest that lasts more
than a few minutes, or that goes away and comes back. It can feel like uncomfortable pressure, squeezing, fullness or pain.
- Discomfort in other areas of the upper body. Symptoms can include pain or discomfort in
one or both arms, the back, neck, jaw or stomach.
- Shortness
of breath with or without
chest discomfort.
- Other
signs
may include breaking out in a cold sweat, nausea or lightheadedness www.americanheart.org
Breast Cancer:
Breast
cancer is the most common cancer among women in the United States, other than skin cancer. It is the second leading cause
of cancer death in women, after lung cancer.
About 182,460
women in the United States will be found to have invasive breast cancer in 2008. About 40,480 women will die from the disease
this year. Right now there are about two and a half million breast cancer survivors in the United States.
The chance of a woman having invasive breast cancer some time during
her life is about 1 in 8. The chance of dying from breast cancer is about 1 in 35. Breast cancer death rates are going down.
This is probably the result of finding the cancer earlier and improved treatment. www.breastcancer.org
Lung Cancer: Lung cancer is the leading cause of cancer
deaths in the United States. Approximately
50% of the people diagnosed with lung cancer have never smoked nor are former smokers. Lung cancer accounts for approximately 29% of
all cancer deaths.
During 2008,
there will be about 215,020 new cases of lung cancer (114,690 among men and 100,330 among women). More than 7% of American men and women will be
diagnosed with lung cancer in the course of their lifetime.
The LUNGevity Foundation: www.lungevity.org
Andy
Scolnick, VP
Seventh Street Medical Supply, Inc
Andy Scolnick, VP
Seventh
Street Medical Supply, Inc
6:45 pm est
Tuesday, June 24, 2008
House Passes H.R. 6331


H.R. 6331, the Medicare Improvements for Patients and Providers Act of 2008, passed the House of Representatives by a veto-proof
margin of 355 to 59.
I want to thank N.A.M.E.S., PAMS, AAHomecare & everyone involved for
their countless efforts that helped support in favor of the H.R. 6331 Bill.
Competitive Bidding for durable
medical equipment is officially on hold!
I want to also thank Congressman, Patrick J. Murphy serving Pennsylvania's
8th District for his support.
The Senate is now working on the Medicare package. Call your Senators and tell
them the homecare community strongly opposes ANY additional cuts to home medical equipment such as oxygen and power wheelchairs.
Andy Scolnick, VP
Seventh Street Medical Supply
7:24 pm est
Wednesday, May 28, 2008
It’s
finally here! The XPO2 Portable Oxygen Concentrator by Invacare has arrived and
I have the first shipment. The XPO2 Portable oxygen concentrator is powered by
rechargeable battery packs that offer tremendous advantages over devices that must be plugged in to an AC outlet to run. Most
important, they are available for immediate use, anywhere. They can be used indoors, outdoors, or while traveling.
More than half of the one million diagnosed COPD patients are under 65 and are very active. “When
I first saw the AirSep FreeStyle I was excited. But now, that I have a 5 liter concentrator to offer my patient’s
that weighs only 6lbs, I am convinced that this devise will revolutionize the respiratory industry.”
The
XPO2 will help patients maintain their independence and active lifestyle. The XPO2 weighs 6-lbs with one battery, 7.3-lbs
with supplemental battery, so you can simply pick it up on the way out the door. Eliminate the worry about having enough
oxygen cylinders with you. Using the shoulder strap, you simply pick it up and go. With the Invacare Portable XPO2 Concentrator,
oxygen patients will experience a new level of freedom, flexibility and peace of mind.
Also,
just think, no more waiting for deliveries of oxygen cylinders! Call me for more information and a demo
today. (215) 396-2450 or (800) 723-8110.
Andy Scolnick, VP
Seventh
Street Medical Supply
7:51 pm est
Sunday, May 18, 2008
Medicare on Competitive Bids for Medical Equipment
Medicare figures it can save money by getting vendors to submit competitive bids for products like walkers, wheelchairs,
hospital beds, and respiratory equipment.
I believe this will only drive down service and equipment.
Congress needs to be made aware that this will not help patient's get the quality care they deserve.
Competitive
bidding for medical equipment is set to start in 10 cities in July and expand to 70 more cities next year.
A similar plan to bring competitive bidding to lab tests was recently put on hold in San Diego, when a judge agreed that the shift could harm patient care.
I believe the same will result, if
this is the direction our healthcare industry is heading.
There are “serious flaws” in Medicare’s
proposed competitive bidding approach, which could drive some vendors out of business. Pete Stark, a California Democrat
who chairs the health subcommittee of the House Ways and Means Committee, says he’d “like to see the whole
thing scrapped.”
I SECOND THAT!
In the beginning of April 2008, I wrote a letter to congressman
Patrick J. Murphy (Serving Pennsylvania's 8th District) to express my concerns and to hear his view points on this issue.
Andy Scolnick, VP
3:42 pm est