Ohio coding consultant agrees to settle allegations regarding neurostimulator devices

HOUSTON – A 47-year-old healthcare consultant has agreed to pay $30,000 to settle allegations that she assisted in causing the submission of false claims, announced U.S. Attorney Alamdar S. Hamdani. 

Franceene McKinney is a medical information technology and coding consultant based in the Cincinnati area. Through her business, IOS Consultants LLC, she provided services to doctors, chiropractors and other medical professionals across the country, including in the Southern District of Texas.     

From Jan. 1, 2016, to Dec. 31, 2020, McKinney aided those providers in billing Medicare fraudulently, pointing them to a billing code designed for the surgical implantation of neurostimulator electrodes. These are invasive procedures usually requiring the use of an operating room. Medicare pays thousands of dollars per procedure. 

However, the providers McKinney assisted did not perform surgical procedures. Instead, patients received devices used for electro-acupuncture, which only involves inserting needles into patients’ ears and taping the neurostimulator behind them with an adhesive.

In addition to the financial settlement, McKinney and IOS have agreed to a three-year period of exclusion from participation in any federal health care programs. 

To date, this is the tenth case the Southern District of Texas has resolved for similar conduct.  The other matters included settlements with a Katy anesthesiologist, Houston pain doctor, Rockport chiropractor, Houston chiropractor, Laredo pain doctor, The Woodlands pain doctor, Cypress marketing representative, and two separate settlements (linked here and here) with Cypress podiatrists.     

The Department of Health and Human Services – Office of Inspector General conducted the investigation.  Assistant U.S. Attorney Brad Gray handled the matter. 

The claims resolved by the settlement are allegations only and there has been no determination of liability.