Monticello Live

Dr. Kelly Shrum, of Monticello’s Arkansas Center for Women (and an active medical staff member at Drew Memorial Hospital) was indicted on 4 criminal counts including mislabeling of Mirena IUDs, inappropriate Medicaid billing, and two count of money laundering (in relation to the IUD case).

The IUDs were reportedly imported from Canada, (may have had French labeling) but were manufactured in a U.S. facility.

An IUD is a method of birth control where a medical device is placed into the uterus to prevent fertilization.

A federal jury in Little Rock deliberated for parts of 3 days, before finding Shrum guilty of one charges, which was for billing Medicaid for the IUDs, which is defined as “Medicaid fraud”.

It was pointed out by defense that 3,000 other ob/gyns across the country were using the same practice, and they also didn’t realize that this was considered a criminal act by the government.

Shrum received a $75,000 fine, will be notified of any other penalties within the next 3 months. The Arkansas Medical licensing Board will announce any potential effect on Shrums license. Any action affecting his Medicaid billing privileges. will be decided by Medicaid later, as well.

Sources close to the case that the jury’s verdict will likely be appealed.

This entry was posted on Thursday, November 18th, 2010 at 2:21 pm and is filed under Medical / Hospital. You can follow any responses to this entry through the RSS 2.0 feed. Responses are currently closed, but you can trackback from your own site.