Houston Woman Charged in $10 Million Power Wheelchair Scheme

HOUSTON–An unlicensed Texas doctor has been indicted for her
involvement in a power wheelchair scheme, U.S. Attorney for the
Southern District of Texas Chuck Rosenberg announced last week.

According to a release from the U.S. Attorney’s office:

Linda Morgan, 52, of Houston was responsible for approximately
$10 million in Medicare and Medicaid billings for DME from 2002
through 2004 for writing false prescriptions and CMNs. Morgan is
licensed to practice medicine in Oklahoma, but is unlicensed in
Texas because she has not passed the state medical boards. She was
charged with conspiracy and 12 counts of health care fraud.

The indictment alleges marketers and recruiters brought Medicare
and Medicaid patient information–but not the patients–to Morgan,
who received approximately $250 in exchange for a power wheelchair
prescription and CMN. The marketers would then sell the
prescriptions to DME companies, which billed Medicare and Medicaid
for power wheelchairs and related accessories at approximately
$5,000; the patients, however, received scooters costing between
$800 and $1,200.

If convicted of health care fraud, Morgan faces up to 10 years
in prison and a maximum fine of $250,000. If convicted of
conspiracy, she faces up to five years and a maximum fine of
$250,000.

The charges are the result of a joint investigation by the FBI
and the Medicaid Fraud Control Unit of the Office of the Texas
Attorney General.