FraudAlert!
Helping keep the promise.
August 2014  Volume 18, No. 1
 Coalition of Wisconsin Aging Groups Elder Law Center
From the Project Director. . . . . . . Kevin Brown
Check out our website at www.wisconsinsmp.org
Let’s Get Acquainted
By Judy Steinke, Wisconsin SMP Volunteer Coordinator
Wisconsin SMP (Senior Medicare Patrol) introduces Carol
Zoran of Sheboygan Falls as this month’s featured volunteer.
Prior to her retirement in 2004, Carol worked for Sheboygan
County for 30 years. Her experience in their Economic Support
Department makes her a valuable asset to SMP.
When asked why she volunteers, Carol’s response was, “I guess
I ended up volunteering so much because I have always liked
the challenge of making people’s lives better, and I have a hard
time saying ‘No.’”
Carol, who is a nine-year cancer survivor, continues to improve
the lives of others by her many volunteer activities. She has
served on the governing committee of Sheboygan County’s
Aging and Disability Resource Center for the past five years.
Carol is currently the President of the local AARP Chapter,
President of AFSCME Retirees Chapter #62, and the 2nd Vice
President of the Sheboygan County Democratic Party. Once a
month, she is also a volunteer docent at the Plymouth Art
Center.
When not spending time with her family or volunteering,
Carol’s hobbies include sewing, crafts, reading, and most of all,
politics. Family members, who all live in her area, include four
adult children, five grandchildren, and one great-grandson.
Wisconsin SMP
In this issue:
Let’s Get Acquainted with Carol Zoran,
SMP Volunteer
WI SMP Welcomes New Staff Member
Green Dot MoneyPak Offers Refunds
for We Energies Scam Victims
WI DOJ News Releases
Louisiana Psychiatrist Sentenced for
Medicare Fraud
WI BBB News Release
Medicare Trustees: Fund Good
until 2030
FTC: How to Protect Yourself from
Russian (and other) Hackers
Five “Worst” Consumer Complaints
FTC News Release
SMP Activities
Published and distributed by the Coalition of
Wisconsin Aging Groups Elder Law Center. This
project was supported, in part by grant #90MP0187,
from the U.S. Administration for Community Living,
Department of Health and Human Services,
Washington, D.C. 20201. Grantees undertaking
projects under government sponsorship are
encouraged to express freely their findings and
conclusions. Points of view or opinions do not,
therefore, necessarily represent official
Administration for Community Living policy.
EDITOR AND PROJECT DIRECTOR
Kevin Brown
This publication may be reproduced ONLY in its
entirety. Permission to excerpt portions must be
obtained prior to use.
© 2014 CWAG. All rights reserved.
Carol, thank you for all that you have done and continue to do
to improve the lives of others. Wisconsin SMP is very fortunate
to have you on the team!
FRAUD ALERT! ● Coalition of Wisconsin Aging Groups Elder Law1 Center
2850 Dairy Drive
Madison, WI 53718-6742
608-224-0606
www.cwag.org  [email protected]
WI SMP Welcomes New Staff Member
By Kevin Brown, Wisconsin SMP Project Director
I am very pleased to announce that Will Armstrong has been hired to be the new Wisconsin SMP
Grant Manager/Trainer. He will be responsible for managing the day-to-day activities of the SMP
Capacity Building Grant. He will train new Wisconsin SMP volunteers; present group education
sessions to Medicare beneficiaries, caregivers, and professionals; and assist with writing, editing, and
producing this newsletter.
Will has been working with seniors in the Madison area for the past two years. His most recent
position was with the West Madison Senior Center where he was in charge of scheduling day-to-day
activities and making sure things ran smoothly at the center. Prior to that, he worked for the East
Madison/Monona Coalition of the Aging. Will graduated from the University of Arkansas with
degrees in English and Psychology in 2011. He is currently working on a Master of Social Work
degree with an emphasis on aging at the University of Wisconsin-Madison.
In his free time, Will likes to bike (he often cycles 30 or more miles a day), read children’s books, and
eat various types of fried food. He is happily married to his wife, Lindsay, and has two cats, Hester
and Hans.
Welcome to the Wisconsin SMP team, Will!
Green Dot MoneyPak Offers Refunds for We Energies Scam Victims
Consumers who were duped by a scammer pretending to be from We Energies and paid money to
settle alleged overdue utility bills may be able to get their money back if they act quickly. Green Dot
MoneyPak, which is a prepaid credit card, was used to perpetrate the We Energies scam. Victims of
the scam were told that they had past-due energy bills and that their utilities would be disconnected if
they didn’t immediately pay their debt with a prepaid credit card.
On August 12, MoneyPak launched an online tool that allows people who paid with a Green Dot card
to request a refund. There is, however, one big catch for making a claim: “If the scammer hasn’t
already cashed the card, customers may be able to get money back,” said We Energies and the Better
Business Bureau (BBB) Serving Wisconsin in a joint news release.
Earlier this year, We Energy received over 50 complaints from consumers about emails alleging they
owed money on their utility bill. We Energies stated that it does not solicit payments by prepaid cards.
The company advises customers who receive suspicious calls to hang up and call the company at (800)
242-9137 to check the status of their account.
The BBB, which regularly receives complaints about scams conducted with the help of Green Dot
cards, has the following tips for consumers to avoid falling victim to such cons:
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Refuse to pay with a prepaid card.
Never disclose your card number to someone you don’t know.
Avoid websites or offers that request payment specifically via Green Dot.
Source: Milwaukee Journal Sentinel (August 13, 2014)
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Reprinted with permission of the Wisconsin Department of Justice
August 26, 2014
Milwaukee Man Sentenced for Medicaid Fraud
MADISON — Attorney General J.B. Van Hollen announced that George Woods, Jr., of Milwaukee
was sentenced on convictions for Medicaid fraud related to the submission of claims for fictitious
durable medical equipment. Woods was the tenth to be sentenced of eleven defendants convicted for
the fraudulent scheme.
On August 25, 2014, Milwaukee Circuit Court Judge William Brash III imposed sentence on three
counts of medical assistance fraud for a total of 12 years imprisonment, comprising five years initial
confinement and seven years extended supervision. Brash ordered restitution to Wisconsin Medicaid
in the amount of $257,376.58, as well as community service and multiple rehabilitative conditions, as
parts of the sentence.
According to the criminal complaint, the defendant submitted payment claims to Wisconsin Medicaid
for the provision of durable medical equipment (DME) used for orthotic purposes. Medicaid is a
healthcare program for those with disabilities and financial need, jointly funded by the state and federal
governments. Orthotics is a branch of medicine that deals with the use of specialized mechanical
devices to support weakened joints or limbs.
Woods submitted an application to become a DME provider, obtained a provider number and
authorization to bill for DME provided. Claims followed for halo cervical devices, tension scoliosis
devices, and devices used to support the knee-ankle-foot. That equipment typically requires
specialized medical treatment for installation and use, but no such complementary claims were filed
for hospital or medical care services.
Further investigation found that the Medicaid recipients for whom the devices were allegedly provided
did not know Woods nor have need for such orthotic devices. Woods also worked with others to file
similar claims for fictitious equipment.
The case was investigated and prosecuted by the Medicaid Fraud and Elder Abuse Unit of the
Wisconsin Department of Justice, and the Office of the Inspector General in the Wisconsin Department
of Health Services.
Louisiana Psychiatrist Sentenced for Medicare Fraud
On August 25, Zahid Imran of Baton Rouge, Louisiana, was sentenced in federal court to serve 86
months in prison for his role in a Medicare fraud scheme. Imran, who is a psychiatrist, was part of a
scheme involving partial hospitalization for psychiatric services that involved $258.5 million in
fraudulent Medicare claims. He was also ordered to pay $23.8 million in restitution and to forfeit an
additional $23.8 million as illegal proceeds of the scheme.
According to court documents, Imran was the medical director of the Shifa Community Mental Health
Center of Baton Rouge. He also co-owned Serenity Center of Baton Rouge and the Shifa Community
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Mental Health Center of Texas. All three facilities were involved in submitting fraudulent claims to
Medicare, and 17 employees of the centers have been convicted for their roles in the scheme.
The fraud committed by Dr. Imran and his employees involved admitting people who were
inappropriate for partial hospitalization and falsifying records to reflect services that were not
provided. In May, Imran pleaded guilty to conspiracy to commit health care fraud.
Source: Federal Bureau of Investigation Press Release (August 26, 2014)
Reprinted with permission of the Wisconsin Department of Justice
August 6, 2014
Attorney General J.B Van Hollen and 41 Other State Attorneys General Reach a
$35 Million Consumer Settlement with Pfizer and Wyeth Concerning the
Immunosuppressive Drug Rapamune
MADISON — Attorney General J.B. Van Hollen, along with the attorneys general of 41 other states
and the District of Columbia, has reached a $35 million settlement with Pfizer Inc. and Wyeth
Pharmaceuticals Inc. to resolve allegations that Wyeth Pharmaceuticals Inc. unlawfully promoted
Rapamune, an immunosuppressive drug currently approved by the FDA to prevent organ rejection
after kidney transplant surgery. Pfizer, as the parent company of Wyeth Pharmaceuticals Inc., agrees
to be bound by the terms of the proposed Final Judgment. Under the settlement, Wisconsin shall
receive $677,491.66.
The Complaint filed today alleges that Wyeth violated state consumer protection laws by making
representations that were untrue, deceptive or misleading as to the uses, benefits, or qualities of
Rapamune, including promoting Rapamune for off-label use (a use not approved by the FDA): (1)
following an organ transplant other than a kidney transplant; (2) as part of a conversion protocol to
switch a patient to Rapamune after initially receiving a different immunosuppressive drug; and (3)
after kidney transplant in combination with drugs other than indicated in the product’s FDA-approved
labeling.
The Proposed Final Judgment, which was submitted today for the Court’s consideration, requires
Pfizer (and its subsidiary, Wyeth) to ensure that its marketing and promotional practices do not
unlawfully promote Rapamune or any other Pfizer product. Specifically, Pfizer shall not:
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Make, or cause to be made, any written or oral claim that is false, misleading, or deceptive
regarding any Pfizer Product;
Make any claim comparing the safety or efficacy of a Pfizer Product to another product when
that claim is not supported by substantial evidence as defined by Federal law and regulations;
Promote any Pfizer Product for Off-Label uses;
Include mechanisms in its financial incentives to provide incentive compensation for sales that
may be attributable to the Off-Label uses of any Pfizer Product;
Affirmatively seek the inclusion of Rapamune in hospital protocols or standing orders unless
Rapamune has been approved by the FDA for the indication for which it is to be included in the
protocol or standing order;
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Disseminate information describing any Off-Label or unapproved use of Rapamune unless such
information and materials comply with applicable FDA regulations and the recommended
actions in FDA Guidances for Industry; or
Seek to influence the prescribing of Rapamune in hospitals or transplant centers in any manner
(including through funding clinical trials) that does not comply with the Federal anti-kickback
statute.
Also participating in the settlement are Alabama, Arizona, Arkansas, California, Colorado, Delaware,
District of Columbia, Florida, Georgia, Hawaii, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana,
Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Nebraska, Nevada,
New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Ohio,
Oklahoma, Oregon, Pennsylvania, South Dakota, Tennessee, Texas, Utah, Virginia, and Washington.
The State was represented by Assistant Attorney General Lara Sutherlin.
Copies of the Complaint and Proposed Consent Judgment submitted to the Court for its consideration
are available at the following links:
Proposed Consent Judgment
Summons and Complaint
Reprinted with permission of the Wisconsin Better Business Bureau
August 4, 2014
Feds Order “Tech Support” Scammers to Pay Millions in Fines
Defendants Allegedly Used the Names of Major Computer Companies to Deceive Consumers
Milwaukee, Wis. – Better Business Bureau Serving Wisconsin says a recent Federal Trade
Commission (FTC) victory is a win for consumers, in the ongoing crackdown against high tech crimes.
Acting on FTC charges, a U.S. District Court has ordered operators of international technical support
scams to pay more than $5.1 million in fines for allegedly tricking consumers into believing their
computers were infected with malware, and charging a fee to supposedly “fix” the non-existent
problems.
Fourteen defendants based mostly in India are named in the action, and according to the FTC, targeted
English-speaking consumers in the United States and other countries.
Consumer complaints filed with the government accuse the defendants of having claimed affiliation
with several companies, including Microsoft, Dell, McAfee and Norton, and telling them that malware
on their computers posed an imminent threat to their computers.
The FTC says it has received more than 40,000 complaints since it instituted a crackdown on the
practice in the fall of 2012. Despite the announcement of the fines against the fourteen defendants,
unfortunately, the scam continues.
Under the tech support scam, in most cases, consumers report they were contacted by telephone and
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told that their computer “problems” could be fixed for a fee that typically ranged from $100 to $400.
Victims say they were directed to a website to download software that gave the scammers remote
control access to their computers.
In some cases, the criminals installed harmless software, but others downloaded tracking programs that
provided them access to personal information stored on consumers' computers.
BBB says consumers should familiarize themselves with the way the scam works, and take precautions
to prevent falling victim to it:
“Tech support” callers may not be who they claim to be - Computer companies and other legitimate
businesses will never make an unsolicited call claiming that there is a problem with your computer that
needs fixing. They would have no way of knowing that.
Maintain control - If you are experiencing computer problems, look for a reputable repair company to
fix it at bbb.org or choose BBB Accredited Businesses by using our Accredited Business Directory.
Remember that any time you hand over remote control to someone else, they can access any and all
parts of your operating system and personal files.
Use safe payment methods - When buying goods and services online steer clear of businesses and
individuals who only accept payment by wire transfer, cashier’s check, or bank withdrawal. Instead,
use a secure form of payment such as a credit card or a trusted online payment system.
Spread the word - Let friends and family know about the tech scam, and encourage them to hang up
on unsolicited calls that supposedly come from well-known computer companies. In the event they
have a question, they should contact the manufacturer’s customer or technical support number.
Medicare Trustees: Fund Good until 2030
According to the annual report from the Trustees for Medicare and Social Security, Medicare’s
financial future is looking better than it did last year at this time. Reduced hospital admissions have
helped slow the rate of growth in Medicare payments, and the trust fund for Medicare is estimated to
last until 2030, which is four years later than last year’s estimate.
While the immediate future of Medicare is safe, some health care experts believe that changes still
need to be made in the program. One reform that has been identified is scrapping Medicare’s fee-forservice payment model. Under this system, Medicare pays doctors more if they perform more
procedures. Eliminating this model would help reduce Medicare fraud, some contend, because it
would make it harder for providers to “game the system.”
The Affordable Care Act (ACA) is likely to have a positive impact on the Medicare program in the
future. The newly insured people under the ACA may be healthier and less demanding of the Medicare
program when they turn 65. Regardless of the improved prospects of the Medicare trust fund this
year, changes to the program still need to happen sooner rather than later. In the next ten years,
Medicare’s average cost per beneficiary is expected to swell about 40% to $17,360 per year.
Source: USA TODAY (July 30, 2014)
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FTC: How to Protect Yourself from Russian (and other) Hackers
Earlier this month, news surfaced that Russian hackers have stolen more than a billion unique
username and password combinations and more than 500 million email addresses. The Federal Trade
Commission has the following advice for how you should respond to this massive data breach:
Change the passwords you use for sensitive sites. This includes any site that has important financial
or health information, such as your bank and email accounts. You should use different passwords for
different websites so if hackers figure out one of your passwords, they won’t have access to all of your
important accounts.
Keep your passwords safe. Think twice when you are asked to enter usernames and passwords, and
never provide them in response to an email. Hackers sometimes pose as known entities, such as your
local bank, and send emails hoping you will click on links in the messages. These links could contain
malware. Don’t click on these links, visit the websites directly.
Review your financial statements regularly. If you find something unusual, contact your bank or
credit card company immediately and ask to speak to the fraud department.
Review your credit reports on a regular basis. This will allow you to see if there is a line of credit
in your name that you are unaware of. You can check your credit report for free at
www.AnnualCreditReport.com or 1-877-322-8228.
Source: Federal Trade Commission Blog Post (August 8, 2014)
Five “Worst” Consumer Complaints
Some consumer complaints are worse than others. Each year, the Consumer Federation of America
conducts a survey of local and state consumer protection agencies and asks them to list the worst and
most common complaints that they have received over the past year. This year’s results are in, and
scams against the elderly are the worst by far.
Here are the five “worst” consumer complaints:
1. Scams against the elderly: One common scheme is the “grandparent scam.” In this scheme,
perpetrators pose as family members, often grandchildren, in distress. One woman in Pennsylvania
nearly wired $3,500 after receiving a call from a con artist claiming to be her grandson in California
and begging her for money to get him out of jail. Fortunately, she called a consumer agency for advice
and did not make the money transfer.
2. Home improvement and construction: In Florida, one contractor lied to a 92-year-old woman and
told her that another contractor had used his company’s materials on her roof and that he needed to
inspect it. He then claimed that she had a leaky roof and convinced her to pay more than $20,000 for
repairs.
3. Business closings: When businesses close unexpectedly, its consumers often pay the price. When
companies go bankrupt, consumers sometimes have to eat the cost of services they have paid for
previously. In Connecticut, this was the fastest growing consumer complaint.
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4. Phony sweepstakes and lotteries: In this scam, fraudsters claim you’ve won a huge sum of money,
but you need to pay a small processing fee before you can collect. One man in North Dakota sent
nearly $9,000 to fraudsters hoping to collect several phony prizes.
5. Landlord/tenant disputes: This consumer complaint hits close to home for many. Often, renters
find they are at the mercy of a landlord. Complaints can include mold in an apartment, a leaking
ceiling, or extra fees.
Source: CNN.com (July 30, 2014)
Reprinted with permission of the Federal Trade Commission
August 12, 2014
Email Spammer Settles FTC Charges: Tricked Consumers with False Information
about the Affordable Care Act
An email spammer and his company will pay $350,000 to resolve Federal Trade Commission charges
that they sent deceptive emails in advance of the Affordable Care Act (ACA) roll-out, falsely claiming
that consumers would be violating the law if they did not immediately click a link to enroll in health
insurance.
In January 2014, the FTC filed a complaint against Yair Shalev and Kobeni Inc., alleging that their
misrepresentations violated Section 5 of the FTC Act. It also alleged that their spam emails violated
the CAN-SPAM Act by failing to provide consumers the opportunity to decline to receive future
emails, and to provide a valid physical postal address. According to the complaint, the defendants’
emails led to websites with advertisements for insurance. The websites’ operators paid the defendants
when consumers clicked links in the ads. Insurance companies whose ads appeared on the websites
did not authorize the email messages.
The settlement order imposes a $350,000 judgment and permanently prohibits the defendants from
misrepresenting material facts about any product or service, including that consumers will violate
federal law if they do not select health insurance by a certain date, or that the law requires consumers
to buy something. The order also bars the defendants from violating the CAN-SPAM Act, including
by engaging in the violations that occurred in this action.
The Commission vote authorizing the staff to file the proposed stipulated order was 5-0. The U.S.
District Court for the Southern District of Florida entered the order on August 7, 2014.
The Federal Trade Commission works for consumers to prevent fraudulent, deceptive, and unfair
business practices and to provide information to help spot, stop, and avoid them. To file a complaint in
English or Spanish, visit the FTC’s online Complaint Assistant or call 1-877-FTC-HELP (1-877-3824357). The FTC enters complaints into Consumer Sentinel, a secure, online database available to more
than 2,000 civil and criminal law enforcement agencies in the U.S. and abroad. The FTC’s website
provides free information on a variety of consumer topics.
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SMP Activities
Date
Activity
County
August 5
August 5
August 6
August 12-14
August 13
August 18
August 19-21
August 27
August 28
August 29
September 2
September 2
September 3
September 3
September 9
September 9
September 10
September 10
September 11
September 12
September 13
September 15
September 15
September 16
September 17
September 19
September 26
September 26
September 30
September 30
October 1
October 2
October 7
October 7
October 8
October 9
October 9
October 11
October 16
October 20
October 24
SMP Presentation-St. Nazianz Nutrition Site
SMP Presentation-John Fischer Manor-Appleton
SMP Presentation-Senior League FUMC-West Allis
SMP Booth-Farm Technology Days-Stevens Point
SMP Presentation-Valders Nutrition Site
SMP Presentation-Manitou Manor Nutrition Site
2014 SMP National Training Meeting-Washington, DC
SMP Volunteer Update Training-Madison
SMP Presentation-Cottage Grove Chamber of Commerce
SMP Booth-Senior Celebration-Milwaukee County Zoo
SMP Volunteer Update Training-Rhinelander
SMP Presentation-St. Nazianz Nutrition Site
SMP Presentation-Whitelaw Village Hall
SMP Presentation-Ridgeview Commons-Richland Center
SMP Presentation-Courtyard Apts.-Grand Chute
SMP Booth-Ogema Caregiver Conference
SMP Booth-Senior Living Expo-Appleton
SMP Volunteer Update Training-Onalaska
SMP Booth-Madison Senior Center Health & Resource Fair
SMP Presentation-Colonial Club-Sun Prairie
SMP Booth-Caregiver Resource Fair-Madison
SMP Presentation-Manitou Manor Nutrition Site
SMP Booth-Wis. Counties Assn. Conference-Lake Delton
SMP Volunteer Foundations Training-Madison
SMP Volunteer Update Training-Milwaukee
SMP Booth-Dane County/State Triad Conference-Madison
SMP Volunteer Foundations Training-Woodruff
SMP Presentation/Booth-Health & Wellness Expo-Dodgeville
SMP Booth-Colloquium on Aging-Madison
SMP Presentation-Mayville Senior Center
SMP Booth-Forever Young Senior Festival-Green Bay
SMP Presentation/Booth-Wellness Expo-Black Earth
SMP Presentation-St. Nazianz Nutrition Site
SMP Presentation-Beloit Senior Fair
SMP Presentation-Valders Nutrition Site
SMP Booth-WI Faith Community Nurses Conf.-La Crosse
SMP Presentation-WI Crime Prevention Conference-Wausau
SMP Booth-Zion Lutheran Church Health Fair-Shawano
SMP Booth-Two Rivers Senior Health & Information Fair
SMP Presentation-Manitou Manor Nutrition Site
SMP Booth-Rock County Senior Fair-Janesville
Manitowoc
Outagamie
Milwaukee
Portage
Manitowoc
Manitowoc
Dane
Dane
Milwaukee
Oneida
Manitowoc
Manitowoc
Richland
Outagamie
Price
Outagamie
La Crosse
Dane
Dane
Dane
Manitowoc
Sauk
Dane
Milwaukee
Dane
Oneida
Iowa
Dane
Dodge
Brown
Dane
Manitowoc
Rock
Manitowoc
La Crosse
Marathon
Shawano
Manitowoc
Manitowoc
Rock
We are always looking for opportunities to support our colleagues in the aging network. Please
contact Wisconsin SMP and let us know about upcoming events in your area.
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Wisconsin SMP
Coalition of WI Aging Groups
2850 Dairy Drive Ste. 100
Madison WI 53718
ATTENTION: All of You with Email…
In an effort to save paper, postage and be “volunteer friendly,” we will email issues of the
Fraud Alert! to those who have email. Please contact Kevin Brown at [email protected]
and give him your email address to add to our list. Thank you!
For more information, contact:
Kevin Brown, SMP Project Director
Coalition of Wisconsin Aging Groups Elder Law Center
2850 Dairy Drive – Suite 100
Madison, WI 53718-6742
Phone: 800/488-2596 608/224-0606
Email: [email protected]
You can also access our publication by visiting our web site www.wisconsinsmp.org
Or you can visit the Coalition of Wisconsin Aging Groups web site www.cwag.org
Click on Publications then click on Wisconsin Senior Medicare Patrol (SMP)
and scroll down and click on the edition you wish to view.