A man from Geneva, Illinois has been charged in a case involving alleged fraudulent claims to Medicare for durable medical equipment (DME). Kartik Bhatia, 36, is accused of participating in a scheme that sought over $2 million by submitting claims for medically unnecessary equipment. According to court documents, Bhatia and others operated a DME company that paid telemarketing firms for orders of orthotic braces such as those for the ankle, wrist, knee, and back.
Authorities allege that many Medicare beneficiaries did not need or want the braces sent to them. In addition, doctors whose signatures appeared on the DME orders often had not treated these patients or prescribed the equipment. After federal officials suspended payments to Bhatia’s original company, he allegedly opened another business and continued similar activities.
Bhatia has agreed to plead guilty to conspiracy to commit health care fraud and making false statements. He is accused of providing materially false information during the investigation. The charge of conspiracy carries a maximum sentence of 10 years in prison and up to three years of supervised release, along with a fine that could reach $250,000 or twice the amount gained or lost. The false statement charge carries up to five years in prison and a possible $10,000 fine.
United States Attorney Leah B. Foley announced the charges alongside officials from Health and Human Services-Office of Inspector General and the Federal Bureau of Investigation’s Boston Division. Assistant U.S. Attorneys Lauren Graber and Sarah Hoefle are prosecuting the case.
“The details contained in the charging document are allegations. The defendant is presumed to be innocent unless and until proven guilty beyond a reasonable doubt in the court of law.”
