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United States Attorney Candace G. Hill
Western District of Kentucky

Contact: Dawn Masden
Phone: (502) 582-5911
Fax: (502) 582-5097



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September 3, 2009

MED 1ST OF MIDDLETOWN SENTENCED FOR SUBMITTING FALSE BILLINGS
– Corporation submitted false claims to Anthem

LOUISVILLE, KY - Med 1st of Middletown, in Jefferson County, Kentucky was sentenced on September 2, 2009, by Judge Thomas B. Russell on charges of committing health care fraud, announced United States Attorney Candace G. Hill of the Western District of Kentucky.

An information had been filed which alleged that between 2002 and 2007, Med 1st submitted false billings to Anthem for VAX-D treatment. Vertebral Axial Decompression (VAX-D) is a procedure in which a patient lies prone on a table and is placed in a harness. The device then creates traction and relaxation phases. Although approved by the FDA, VAX-D is still considered experimental and most insurers will not pay for it. Med 1st submitted false statements to Anthem and other providers indicating that they had performed an approved service when in fact they had performed the unapproved VAX-D service.

An agreed order of restitution of $311,860.49 was entered in this matter. The case was prosecuted by Lettricea Jefferson-Webb, and it was investigated by the Office of Personnel Management Office of the Inspector General, and Anthem's Special Investigation Unit.

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