A new report by federal auditors says a Kansas-based company may have paid out as much as $4.2 million in potentially fraudulent Medicare claims for penis pumps, and the auditors are asking the company to refund the government the money.
The Health and Human Services inspector general said it sampled 100 claims made with Pos-T-Vac, the Dodge City-based penis-pump manufacturer, and found improprieties in more than half of payments for what are known as “male vacuum erection systems.”
Together, those claims from the small sample amounted to $18,007 in billings, and when multiplied across Pos-T-Vac’s entire set of 28,088 claims, the potential for fraudulent payments came to more than $4.2 million in 2008 and 2009, the auditors said.
