Winston-Salem Journal reports the federal raid on Carolina Chemical Chemistries Corp.:
Agencies involved include the Federal Bureau of Investigation, the U.S. Department of Health and Human Services, the Office of the Inspector General, the U.S. Defense Department and the Food and Drug Administration.
According to an affidavit, agents accuse the couple of engaging in wire fraud, health care fraud, conspiracy to commit wire and health care fraud, and the introduction into interstate commerce of a misbranded or adulterated device. The affidavit said their business practices represent a violation of the federal Food Drug and Cosmetic Act.
Agents are saying the company misrepresented its products’ capabilities, causing or leading those clients to bill health insurance companies at a rate that, in some cases, was about five times more than allowed.
Pretty serious stuff here —-physicians using Carolina Chemical Chemistries “would use the urine drug-testing systems to screen for drugs in a patient’s system that would help doctors make informed decisions about treatment.” The company also checked HDL and LDL cholesterol levels.
Which begs the question why no criminal charges have been filed (as of yet) according to a spokesman with the U.S. Attorney’s Office in Greensboro.
