Contributors
Recent Posts
- The Ten Year Wait is Over: HRSA Releases 340B Dispute Resolution Final Rule
- HHS Final Rules Modernize the Stark Law and Anti-Kickback Statute to Usher in Value-Based Care
- The CDC’s New Definition of “Close Contact”: What You Need To Know
- U.S. Department of Labor Issues Revised Regulations Implementing FFCRA Leaves Following New York Court’s Decision
- Michigan Reinstitutes Pre-COVID Scope of Practice, Licensure, and Liability Standards
- DHHS Issues Terms and Conditions for Relief Funds
- Nursing Home Compliance Under the COVID-19 Microscope
- OCR Guidance During the COVID-19 Public Health Emergency
- Michigan Governor’s Executive Order 2020-30 Expands Health Care Professionals’ Scope of Practice and Lifts Certain Licensure Restrictions
- Medicare Telemedicine Reimbursement Updates in Response to COVID-19
Related Practices
- Adoption & Assisted Reproductive Technology
- Ambulatory Care Providers
- Bankruptcy, Insolvency & Creditors' Rights
- Bioethics & End-of-Life Care
- Biotechnology and Life Science
- Cannabis Law
- Government Investigations and Corporate Compliance
- Health Care
- Health Care Administrative Law & Regulatory Appeals
- HIPAA—Health Information Privacy & Security
- Hospitals and Health Care Systems
- Long-Term & Post-Acute Care Providers
- Nonprofits & Tax-Exempt Organizations
- Pharmacies, DEA & Robinson-Patman/340B Drug Programs
- Physicians, Dentists and Non-Physician Practitioners
Related Industries
Fighting Fraud in the Wake of COVID-19
The federal government continues to develop responses to the evolving COVID-19 pandemic and now turns toward combatting COVID-19 related fraud. Attorney General Barr issued a memo on March 16, 2020 calling on all U.S. Department of Justice (“DOJ”) attorneys to prioritize the detection, investigation, and prosecution of wrongdoing related to COVID-19. Following Attorney General Barr’s instruction, the U.S. Attorney for the Northern District of Illinois appointed a federal prosecutor to lead the district’s crackdown of scammers attempting to leverage the pandemic for fraudulent purposes. U.S. Attorney’s Offices across the country are expected to follow this path to coordinate with federal, state, and local law enforcement partners to lead fraud investigations and enforcement.
In a March 22, 2020 DOJ press release (the “Press Release”), the DOJ detailed its first enforcement action against operators of a fraudulent COVID-19 related website. The website, “coronavirusmedicalkit.com,” engaged in a wire fraud scheme according to the DOJ, purporting to sell a vaccine for the disease. The website “claimed to offer consumers access to World Health Organization vaccine kits in exchange for a shipping charge of $4.95, which consumers would pay by entering their credit card information on the website” while in fact there are currently no legitimate vaccines.
While the DOJ is ramping up fraud investigations and enforcement, they also warned the public to be extra-cautious. With a large portion of the workforce now working online, e-mail and other online services continue to be a favorite target for fraud. The Press Release listed the following suggestions to help individuals and businesses avoid scammers:
- Independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19.
- Be wary of unsolicited emails offering information, supplies, or treatment for COVID-19 or requesting your personal information for medical purposes. Legitimate health authorities will not contact the general public this way.
- Research any charities or crowdfunding sites soliciting donations in connection with COVID-19 before giving any donation. Remember, an organization may not be legitimate even if it uses words like “CDC” or “government” in its name or has reputable looking seals or logos on its materials. For online resources on donating wisely, visit the Federal Trade Commission (FTC) website.
- Be wary of any business, charity, or individual requesting payments or donations in cash, by wire transfer, gift card, or through the mail. Don’t send money through any of these channels.1
The DOJ also advises that suspected fraud be reported to the FBI’s Internet Crime Complaint Center at: https://www.ic3.gov/default.aspx.
A link to the March 20, 2020 press release is available here: link.
To sign up for Dykema’s Health Care Blog e-mail updates, please click here.
1The U.S. Dept. of Justice, Justice Department Files Its First Enforcement Action Against COVID-19 Fraud, March 22, 2020.