Former Arriva consultant settles allegations

STUART, Fla. – Ted Albin, a reimbursement consultant who provided services to Arriva Medical, and his firm, Grapevine Billing and Consulting Services, have agreed to pay $50,000 to resolve allegations they violated the False Claims Act, according to the U.S. Department of Justice. 

In an emailed statement to HME News, an attorney representing Albin and Grapevine, said the case was without merit.

"Mr. Albin and Grapevine did nothing wrong, and they should never have been part of the government’s lawsuit in the first place. To put this matter behind them, they have entered into a settlement for $50,000 – a small fraction of what it would have cost to clear their names at trial. After nearly three years of litigation concerning allegations from more than a decade ago, Mr. Albin and Grapevine are pleased to be moving on."

In its complaint, the United States alleged that, from 2008 until 2017, Albin and Grapevine provided consulting services to the now-defunct Arriva, its parent company Alere Inc., and Abbott Laboratories (after Abbott acquired Arriva and Alere in October 2017) and that, at least from 2009 until 2011, Albin and Grapevine allegedly led reimbursement at Arriva, overseeing the company’s reimbursement department, developing its policies for the collection of beneficiary co-payment obligations and submitting claims to Medicare on its behalf for diabetes testing supplies. 

“Consultants must abide by federal requirements when providing Medicare billing advice,” said Brian M. Boynton, acting assistant attorney general for the Justice Department’s Civil Division. “We will continue to protect the integrity of federal health insurance programs by pursuing individuals or entities responsible for the submission of false or fraudulent claims, including those who cause such claims to be submitted.” 

Arriva ceased operations in December 2017 after an appeal seeking to reinstate its Medicare billing privileges failed. CMS revoked those privileges in 2016, alleging the provider submitted 211 claims for deceased patients between April 15, 2016, and April 25, 2016. 

Prior to that, Arriva had been the top provider of mail-order diabetes supplies, receiving nearly $120 million in Medicare payments in 2015.