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Chiropractor Convicted of Defrauding Medicare, Insurance Companies of over $1.5M

A federal jury returned a guilty verdict against Carrie Musselman, 48, of Eureka, Illinois, for defrauding Medicare and other insurance companies out of more than $1.5 million dollars and for five counts of wire fraud in furtherance of her scheme to defraud. Over 13 days of testimony, the government presented evidence establishing that Musselman, a chiropractor in Eureka, engaged in a scheme to defraud Medicare and other insurance companies. As part of the scheme, Musselman disguised the identity of the people providing services and misrepresented the nature of the services that had actually been provided. For instance, Musselman falsely claimed services were being provided by physicians when they were actually being provided by nurse practitioners and physician’s assistants. This resulted in an automatic pay increase for Musselman and her practice.

In addition, one of Musselman’s highest reimbursement services, the placement of an electroacupuncture (which she was falsely billing as a surgically implanted neurostimulator), would not have qualified for any payment but for her deception. Musselman also billed for services that were not actually rendered. This included not only billing for neurostimulators that were never provided, but also for purportedly providing patients with allergy injections when, in reality, no such injections were given. Instead, patients were sent home with oral drops that had not been approved by the Food and Drug Administration, were considered “experimental,” and had not been proven to be effective.