Fifteen members of the Massachusetts orthopaedic footwear industry are to pay $526,000 to the Massachusetts Medicaid programme after an investigation carried out by the Medical Fraud Control Unit found the industry issued incorrect billings and documentation between 1995 and 1999.

The majority of all Medicaid orthopaedic transactions resulted in overpayments and some companies were billed twice for the same service. Many of the shoe providers also failed to comply with record-keeping requirements.

The companies involved will also implement compliance programmes whilst Medicaid has revised and tightened regulations to prevent similar situations in the future.

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