Billing practices result in arrest

Published: 2007-12-29 11:23:57
Author: Kelly Dame, Our Midland, April 25, 2007

A six-month investigation into the billing practices of a Midland chiropractor has resulted in criminal charges.

Michigan State Police from the Bay City post arrested Frederick Lee Knockel III, 31, Midland, last week on six charges of submitting false insurance claims to Blue Cross Blue Shield of Michigan. Knockel offers chiropractic, rehabilitation and massage therapy at Chiro-Med of Midland, 2525 Washington St.

The state police investigation was in partnership with the insurance company and began after a patient looked over his explanation of benefits papers and noticed he was being charged for services he had not received, said Trooper David Rivard.

That man contacted Blue Cross Blue Shield and its investigators then called troopers. After following the paper trail and interviewing other patients, Rivard submitted his reports to the Midland County prosecutor.

A representative from the insurance company said patients who are billed fraudulently are not responsible to pay those charges.

According to the Blue Cross Blue Shield of Michigan website, the fraud investigation unit has researched 29,569 fraud cases between July 1980 and December 2006. Of that number, 3,285 were referred to law enforcement agencies, resulting in 1,862 convictions.

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