A.G. Schneiderman Announces $24K Settlement With Optician Who Billed Medicaid For Eyewear In Violation Of Medicaid Billing Rules

Optician To Pay $24K In Restitution, Damages For Billing Medicaid For Eyeglasses That Should Have Been Paid by Medicare; Also Billed Medicaid For Glasses Never Dispensed

Schneiderman: My Office Will Root Out Fraud And Abuse So Medicaid Can Continue Providing Critical Health Care Services

Attorney General Eric T. Schneiderman recently announced that his office has entered into a settlement agreement with John Renna, d/b/a Renna Optical, to resolve allegations that he caused Medicaid to pay for eyewear in violation of Medicaid billing rules.

The Attorney General’s investigation determined that from January 1, 2010, through November 30, 2013, Renna Optical caused Medicaid to pay for eyeglasses that should have been paid for by the Medicare program. During the same period, Renna also caused Medicaid to pay a portion of the cost of some eyeglasses that were never actually dispensed to Medicaid recipients.

“Medicaid should not pay for services when other available sources of payment are available or when the services billed are not actually rendered,” said Attorney General Schneiderman. “We will keep working to root out Medicaid fraud and abuse, and recover the funds lost, so that Medicaid can continue providing critical health services to those most in need.”

As a result of the settlement, Renna will pay New York State $24,000 in restitution and damages pursuant to the New York False Claims Act.

The case was investigated by Special Investigator Scott Barnes, with assistance from Medicaid Fraud Control Unit (MFCU) Supervising Investigator James Zablonski and MFCU Deputy Chief Investigator William Falk, and Senior Auditor-Investigator Mary Henry, with assistance from Regional chief Auditor Frank Zeffiro and Chief Auditor Michael LaCasse. The case was handled by Special Assistant Attorney General Laurie Frank of the MFCU Buffalo Regional Office. Gary A. Baldauf is the Regional Director of the MFCU Buffalo Regional Office. The Medicaid Fraud Control Unit is led by Director Amy Held and Assistant Deputy Attorney General Paul J. Mahoney. The Division of Criminal Justice is led by Executive Deputy Attorney General Kelly Donovan.