August 22, 2017

CA DIR and Division of Workers’ Compensation Suspend Two Providers for Fraud

San Francisco, CA – The Department of Industrial Relations (DIR) and its Division of Workers’ Compensation (DWC) have suspended two more medical providers from participating in California’s workers’ compensation system. DWC Acting Administrative Director George Parisotto issued Orders of Suspension for the following providers:

  • Fermin Iglesias, a provider of durable medical equipment based in Glendale, pled guilty to federal charges of participating in a fraud scheme in which injured workers were referred to specific doctors in exchange for kickbacks.
  • Steven Rigler, a chiropractor in San Diego, was one of the providers participating in Iglesias’ kickback scheme. He pled guilty to fraud charges in federal court.

AB 1244 (Gray and Daly) requires the DWC Administrative Director to suspend any medical provider, physician or practitioner from participating in the workers’ compensation system in cases in which one or more of the following is true:

  • The provider has been convicted of a felony or misdemeanor involving fraud or abuse of the Medi-Cal or Medicare programs or the workers’ compensation system, fraud or abuse of a patient, or related types of misconduct;
  • The provider has been suspended due to fraud or abuse from the Medicare or Medicaid (including Medi-Cal) programs; or
  • The provider’s license or certificate to provide health care has been surrendered or revoked.

DIR’s fraud prevention efforts are posted online, including frequently updated lists for physicians, practitioners and providers who have been issued notices of suspension, and those who have been suspended pursuant to Labor Code §139.21(a)(1). Recently added is a new web page with information on lien consolidations and the Special Adjudication Unit.

Source: CA DWC

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