Louisville-area residents among those implicated in largest Medi - WDRB 41 Louisville News

Louisville-area residents among those implicated in largest Medicare fraud bust in history

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LOUISVILLE, Ky. (WDRB) -- It's the largest national Medicare fraud bust in history -- and a dozen Louisville-area residents have been implicated.

Five of those people are accused of using unsuspecting chiropractors to open new clinics or staff existing clinics in the Louisville area.

The suspects are then accused of recruiting unsuspecting Jeffboat employees to use the clinics.

The scheme fraudulently billed insurance companies $5 million for services never performed.

"They received services from the chiropractors in those offices," said John Kuhn, Acting U.S. Attorney for the Western District of Kentucky. "What the chiropractors didn't know is that the owners of the company were also billing for injections that the patients never received."

Nationwide, nearly 250 people -- including dozens of doctors, nurses and other medical professionals -- are accused of fraud.

The schemes racked-up more than $700 million in false billings.

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