Owner of medical equipment company convicted in $3.2M kickback scheme

Tracy Richardson Brown, 46, former owner of a medical equipment company in New Orleans, has been convicted for her role in a $3.2 million Medicare fraud scheme, according to the Department of Justice.

Evidence introduced at trial showed Ms. Brown's company, Psalms 23 DME, billed Medicare for medical equipment and orthotics that were not needed or not provided. Ms. Brown allegedly paid patient recruiters for the names and Medicare numbers of Medicare recipients and then used those numbers to bill the government payer. She also billed Medicare for high-cost back and knee braces, when she actually provided patients with much cheaper versions of the braces, according to the DOJ.

Ms. Brown was convicted of one count of conspiracy to commit healthcare fraud, nine counts of healthcare fraud, one count of conspiracy to pay illegal kickbacks and seven counts of paying illegal kickbacks.

Ms. Brown's sentencing is scheduled for Aug. 10.

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