Nov 27, 2007 8:03 pm US/Eastern
Medicaid Scam: NYC Dentist Pays You To Get Cleaned
Clinic Employees Caught On Camera Offering To Pay Medicaid Customers $10 Just For A Visit
NEW YORK (CBS) ―
It sounds too good to be true, but imagine if someone actually offered you money to go to the dentist. Incredibly, the illegal scheme is happening to many in lower income neighborhoods around the city, costing the Medicaid system millions each year.
CBS 2 HD confronted a man allegedly behind one of the schemes. He tried to hide from cameras after being confronted at his dental clinic, East Harlem Dental, about his employees being caught trying to lure in potential customers.
The scam begins when employees from the clinic seek out customers by walking the streets of neighborhoods like Harlem offering cash incentives to Medicaid members if they see the dentist.
"You got Medicaid? You can get $10 in your pocket," one of the employees is heard saying on camera.
When someone asked what happens if you don't have Medicaid, the man responded by saying, "Then keep the [expletive] on walking man!"
"That is illegal under both state and federal law," says Mike Little, the state's Deputy Medicaid Inspector General. He's busted many companies for running operations similar to this one.
Little says that one these places have your Medicaid card, the sky is the limit for them.
"If they can entice individuals to come in and receive services paid for by the Medicaid program and in some cases bill the Medicaid program for services they are not providing, it's pure profit on their part," he says.
It's profit for them that can cost Medicaid and taxpayers millions of dollars each year.
But back at the clinic, the owner still says he didn't do anything wrong, telling CBS 2 HD that his business does not pay people money if they have a Medicaid card.
Patients in the waiting room tell otherwise.
"They asked me if I'd give up my Medicaid card and give me $10," says one patient. "[I said] yeah cause I'm homeless and in a predicament."
Still, the dentist played dumb when it came to answering CBS 2 HD's questions.
"I deny anything you're saying," he said. "You're gonna believe people off the street?"
As it turns out, state investigators do. CBS 2 HD has learned that Medicaid inspectors are now looking into East Harlem Dental and plan to take action.
(© MMIX, CBS Broadcasting Inc. All Rights Reserved.)
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