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The resignation came after an internal audit found double billing of insurance companies.
February 20, 2009
By: Editor
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Medical device maker ArthroCare Corp. recently received the resignations of Mike Baker, CEO, and two other top company executives, after an internal audit found double billing of insurance companies. The Austin American-Statesman reported the Austin, Texas-based medical device company was under investigation by the U.S. Securities and Exchange Commission and U.S. attorney’s offices in Florida and North Carolina over insurance billing and other practices, particularly with the company’s spine unit and its connection with DiscoCare, a Florida insurance firm whose only customer is ArthroCare. The company’s audit also revealed inaccurate claims and an alleged pattern by doctors of using false coding to promote higher reimbursements by insurance companies and federal agencies.
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