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A California Respiratory Fraud Case Is Settled for $3.31 Million

California Attorney General Rob Bonta announced a $3.31 million settlement against home respiratory services company, SuperCare Health Inc. (SuperCare) for defrauding the state and federal government by knowingly billing Medicare and Medi-Cal for servicing ventilators that were no longer medically necessary. The proposed settlement resolves allegations that the Downey, California,-based company submitted fraudulent claims to Medi-Cal in violation of the state and federal False Claims Acts. Under the proposed settlement, SuperCare will pay a total of $3.31 million to multiple government plaintiffs, with California receiving approximately $327,000.  

“Medi-Cal is a lifeline that provides access to free or affordable health care services for millions of Californians and their families,” said Attorney General Bonta. “When any health care service provider defrauds the program, they break the public’s trust and put profits before the patients who count on them for honest, quality care and services. It is my hope that today’s settlement is a reminder that we will investigate and prosecute allegations of Medi-Cal fraud.”

SuperCare sells and rents equipment used in the treatment of breathing-related disorders, such as sleep apnea and chronic obstructive pulmonary disease. One of the machines used to assist patients with breathing is the noninvasive ventilator. The ventilators, either with or without oxygen, deliver pressurized air to patients to assist in the breathing process, particularly during sleep.

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