Residents in a Central Texas county are wondering about the future of one of its largest employers – a troubled power wheelchair and scooter company – after the firm’s headquarters was raided this month as part of an investigation into alleged fraud.
The San Antonio Express-News reports the raid capped a tumultuous period for The Scooter Store, known for its ubiquitous television ads.
The New Braunfels, Texas-based company earlier this month cut 150 jobs, blaming pending government changes in claims processing and reimbursement. The company in September laid off about 220 workers, citing a drop in Medicare reimbursements.
In December, two U.S. senators questioned why The Scooter Store had received as much as $87.7 million in Medicare overpayments.
Scooter Store officials have denied wrongdoing and defended their business practices.
Was this article valuable?
Here are more articles you may enjoy.
Chipotle Shareholders Sue Over Fallout From Skimping on Portion Sizes 
T-Mobile’s Network Breached as Part of Chinese Hacking Operation 
Allstate Insurers Sue Hyundai, Kia to Pay for Claims From Defective Cars 
PE Firm Cornell Sued Over $345 Million Instant Brands Dividend 
Want to stay up to date?
Get the latest insurance news
sent straight to your inbox.