DALLAS (CN) – A Dallas-area chain of dental clinics and one of its owners agreed to pay $1.2 million to settle Medicare fraud claims, the Department of Justice said.
All Smiles Dental Center and Dr. Richard Malouf submitted claims to Medicare for orthodontic services that were not performed, were “unbundled” or were not properly documented from 2004 to 2007, according to the Justice Department’s statement.
Orthodontic services are reimbursable by Texas Medicaid only if they are medically necessary, correctly coded and properly documented.
Prosecutors said All Smiles cooperated with the investigation and did not admit wrongdoing or liability.
“The Texas Medicaid Fraud Control Unit and FBI initiated the case in response to patient complaints, record reviews and data analysis,” prosecutors said in a statement.
In April 2010, Malouf settled claims brought by the Dallas County district attorney by repaying Texas Medicaid more than $46,000 for orthodontic claims and agreeing not to submit claims to Medicaid for 18 months. Malouf did not admit any wrongdoing or liability in that settlement.
Founded in 2002, All Smiles operates 38 dental clinics in Texas, according to its web site.