A Perfect Fit for You, a Morehead City, NC, maker of durable medical equipment — including powered wheelchairs, powered air flotation beds, osteogenesis stimulator, pneumatic compressor, orthotic braces and diabetic shoes — was sentenced this week to five years’ probation and ordered to pay a $2 million fine and $10 million in restitution to the state’s Medicaid program for submitting extensive fraudulent claims.
Between March 2015 and November 2016, employees of the company submitted claims that contained the personal identifying information for Medicaid recipients who had never ordered nor received any durable medical equipment from the company. Moreover, some of the patients had died years before the claims were submitted. The scheme resulted in an estimated loss to Medicaid of approximately $10 million.
In addition to fine and restitution, the company and its owner, Margaret A. Gibson, have agreed to pay millions to the United States and State of North Carolina to resolve related civil claims under the federal and state False Claims Acts. In that same civil action, the governments have obtained a multimillion-dollar judgment against one of the company’s employees, the news release said.
