Doctors were paid a 6% commission on sales, incentivizing the prescription of products costing as much as $2,000 per cubic inch, compared to 35 cents in Europe. The Justice Department charged 11 defendants in June for more than $2 billion in allograft claims, including a company accused of issuing sham invoices to inflate reimbursement rates.
Tuesday, October 20, 2026
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RFK Jr. Reports $14B Medicare Wound Care Fraud Before Drop to $1B
US Politics20 days ago
Elderly patients in hospice care were routinely billed for unnecessary skin grafts in a scheme that drained billions from taxpayers, Robert F. Kennedy Jr. said. Expenditures on wound care patches rose from $200 million in 2019 to $14 billion last year and were on track to reach $23 billion this year before the government drove the cost back down to about $1 billion. In one Arizona case, owners of two wound care firms pleaded guilty to more than $1.2 billion in fraudulent claims, with some payments exceeding $1 million per patient.
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