US seizes $2M from California physician clinic accused of fraud

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A federal court has authorized the seizure of more than $2 million from a Pasadena, Calif.-based wound care clinic accused of submitting tens of millions of dollars in fraudulent Medicare claims for skin graft procedures never performed on patients, the Justice Department said in an April 28 news release.

Between September 2025 and April 2026, Expert Wound Care allegedly submitted more than $46.6 million in claims to Medicare for skin substitute products and wound care services purportedly provided to 78 beneficiaries, of which Medicare approved approximately $34 million in payments. The clinic’s billing raised significant red flags, including an average allowed amount per claim of $37,449, more than double the national average, and a dramatic spike in billing from $4,975 in July 2025 to approximately $33 million in December 2025.

In one case, the clinic billed Medicare more than $2.6 million for skin graft services purportedly provided to a single beneficiary over five months, despite law enforcement determining the patient received no skin grafts as part of his treatment.

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