Thursday, February 5, 2009

City of Angels Fraud

Former chairman of the City of Angels Medical Center was arrested in connection with a scheme using homeless people to bilk the government out of thousands of dollars. The City of Angels allegedly paid recruiters $500,000. during a three year period to gather homeless people, transporting them to the medical center. The homeless would be paid a hundred bucks or less for their "service". They would present their Medi-Cal or Medicare cards and the government would be billed for services, even if those services were not performed.

I often had people come up to me, sometimes when I walked out of the Village or other homeless service provider's office and asked if I had Medi-Cal or Medicare. I had already read about the scam and could only assume these people were looking for people to co-operate with the scam.

City of Angels Medical Center is in Los Angeles and most of that recruiting was done on skid row.

People often complain about thee homeless wanting a hand out, yet employed people are the same. Another Public Works employee was sentenced for stealing thousands of dollars worth of gas, for personal use or to sell, from Los Angeles maintenance yards. These are not isolated incidents.

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