Philippines May lose Medical Tourism industry due to allowing Health Scams and Fraud to Flourish

Here is an example of the potential cost to a country if they do not act on cracking down (in this case) on fraud. It seems the Philippines is becoming like Nigeria - a hub for fraud and scams, and this interview indicates concern that recent Philippine based scams will harm the country's efforts to build a medical tourism industry.

I still want to know where all those shoes are that were purchased by the corrupt former leaders (Marcos?)!

What goes around comes around...
vj
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from a Phillipines News network website at
http://www.abs-cbnnews.com/storypage.aspx?StoryId=117553

Health scams deterring RP's medical tourism bid

Recent health-related scandals could dampen the Philippine's bid as a medical tourism destination, a congresswoman leading a legislative investigation into the issue said Thursday.

Iloilo Rep. Janette Garin said she also fears that health maintenance organizations (HMOs) considering investments in the Philippines might be turned off by the country's notoriety for health scams.

"As far as our medical tourism is concerned, this [insurance fraud] is one factor that is deterring our take off," Garin, a doctor by profession, said in an interview on ANC's "News at 8" Thursday morning.

Garin spoke about the US veteran fund scam where hospitals and medical practitioners are believed to have connived with US veterans to avail of
bogus health claims, some of which were allegedly padded by as much as 2,000 percent.

The anomalies are now the subject of US court cases.

A US federal judge has already ordered a Philippine company, Health Visions Corp., to liquidate all assets within 10 months to pay up the $100 million it
swindled from the US military's health insurance program. This came after the company pleaded guilty to uncovered fraud.

In her own investigation, Garin has noted that some of the institutions and personalities involved in the US veterans pension scam may be the same ones involved in an earlier anomaly in the Philippine Health Insurance Corporation (Philhealth).

Last year, Philhealth uncovered a scam involving padded claims for cataract operations.

Garin said hospitals and medical practitioners participating in such scams are tainting the image of the Philippine medical community, dashing hopes that it can be considered as a medical tourism destination.

“If we talk about HMOs in other countries who would like to invest in our medical tourism industry, they always have the claim that if Philippines is noted for fraud what are we going to do about this?” Garin added.

Bad rep

Meanwhile, reports have said that the Philippine government has earned a bad reputation because of the perception that it is not doing much to help in the investigation and prosecution those involved in the scams.

An Associated Press report quoted Assistant US Attorney Peter Jarosz as saying that some of those indicted remain free, partly “because requests to extradite suspects from the Philippines have rarely succeeded.”

The same report quoted a spokesman for Pentagon's Tricare Management Activity, which runs the US military's pension program, as saying that other problem include language barriers, a lack of cooperation from providers and limited law enforcement resources.”

Garin then made an appeal to the Philippine government to help expedite the investigations as she noted that some doctors involved in some of the cases
have expressed desire to turn state witness.

Aside from the US pension fund scam, the Philippine medical industry was rocked by the scandal involving several doctors and nurses who allegedly violated the privacy of a patient when they took video footage of the operation to remove a body spray canister stuck from his anus.

The incident, dubbed the "Cebu canister scandal," is now the subject of a court case.