Genetic Testing and Kickbacks: Lessons for DME Suppliers

The Department of Justice (“DOJ”) and Office of Inspector General (“OIG”) are targeting genetic testing labs (“GTLs”). By way of background, over the last five years the DME industry witnessed a group of lead generation companies (“LGCs”), DME suppliers, sham telehealth companies, and telehealth physicians “game the system” pertaining to off-the-shelf (“OTS”) orthotics—mostly, back braces. Operation Brace Yourself has pretty much shut down the fraud that occurred in the OTS orthotics space.

The LGCs and sham telehealth companies have reacted by moving into a new scheme: genetic testing. Rather than waiting five years to shut down the genetic testing schemes, the government is aggressively going after the players now. The enforcement actions against these schemes provide valuable lessons for DME suppliers.

Read the full article from Medtrade.