Watchdogs Uncover Millions in Improper Medical Supply Payments

Medicare paid over $20 million for medical equipment that was supposed to be paid for by hospitals and other clinics, federal watchdogs say.

An audit posted on Tuesday by the US Department of Health and Human Services’ Office of Inspector General found that Medicare claims should not have been paid to medical equipment suppliers for items provided to enrollees during stays at hospitals, inpatient psychiatric facilities, and inpatient rehabilitation centers.

The audit revealed $22.7 million in unnecessary payments for 114,323 items, including wheelchairs, prosthetics, and wound care supplies, between 2018 and 2024. The facilities would then offload some of the ...