California regulators suspend 178 medical providers in 2022

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The Industrial Relations Department’s Workers’ Compensation Division and its anti-fraud unit suspended 178 medical providers in the first eight months of 2022.

Claimants are suspended from the workers’ compensation system when they have been convicted of fraud-related crimes, have been suspended from Medicare or Medicaid programs due to fraud or abuse, or have lost their professional license, according to a statement released Thursday.

Since 2017, a total of 649 providers have been suspended from participating in California’s workers’ compensation system.

DWC also launched new lien consolidation cases estimated at $75 million for providers who were convicted of fraud-related crimes in 2022. In lien hearings, medical providers have the opportunity to prove that the billing is legitimate. If suppliers are unable to produce such proof, privileges are revoked.

A total of 63,000 liens have been lifted since 2017 worth nearly $775 million.

There are currently 86 providers criminally charged with 516,000 liens designated as suspended. The stays prevent criminally indicted vendors from seeking payment for their liens while the criminal case is pending.

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