American Morning
Health care reform: forgetting fraud
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2009/images/08/07/chernoff.fraud.cnn.art.jpg caption="Theresa Langlois says when she read her insurance statement she knew her podiatrist had been cheating Blue Cross Blue Shield of Michigan."]
CNN Sr. Correspondent
When Theresa Langlois read her insurance statement she knew her podiatrist had been cheating Blue Cross Blue Shield of Michigan.
"It was like robbery," said Langlois.
She had visited Dr. Jeffrey Cooke to have her discolored big toe examined. Cooke billed the insurance company thousands of dollars, claiming he had surgically removed dozens of warts.
"I turned the bill over and there was a fraud hot line, directly to Blue Cross to report fraud. So I called that immediately," said Langlois.
The insurer audited Cooke's billings, interviewed Langlois and other patients who had seen Cooke, then contacted law enforcement, which ultimately led to Cooke's arrest, conviction on health care fraud charges, and imprisonment. Blue Cross Blue Shield of Michigan won a restitution award of $273,000.
"We open about 1,500 cases a year for in-depth investigation," said Greg Anderson, who heads Blue Cross Blue Shield of Michigan's Special Investigative Unit devoted to tracking down corrupt doctors and pharmacists. "They're taking money out of our pocket and depriving people who need the actual service. There's only so much money in the pie to go around when people are taking it."
Health care fraud – perpetrated by physicians, hospitals, medical equipment providers and even organized crime gangs – is rampant. A Senate investigation found Medicaid between 2000 and 2007 paid nearly half-a-million claims to people posing as doctors who were dead.
Such fraud costs every American; driving up prices for medical insurance, treatment and drugs.
Ron Paul's son following in father's footsteps
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2009/images/08/06/art.paul.cnn.jpg caption="Rand Paul says his career as a political outsider should be a plus for voters."]
(CNN) - The phrase "like father, like son" is ringing true for Texas Rep. Ron Paul.
His son, Rand Paul, announced this week he's set his sights on the Kentucky Senate seat being vacated by retiring Republican Sen. Jim Bunning.
"I'm very worried about our country; I'm worried about the debt. I'm worried about what the debt will lead to," Paul said in an interview on CNN's "American Morning" when asked why he's jumping into the political arena. "Both sides of the aisle - Republican and Democrat - have been unwilling and afraid to address the deficit, and someone's got to."
The Kentucky Senate race is particularly high-profile since a seat held by a Republican will now be up for grabs.
Paul is expected to compete in the GOP primary next year with Kentucky Secretary of State Trey Grayson. The winner will face either state Attorney General Jack Conway or Lt. Gov. Daniel Mongiardo, who are seeking the Democratic nomination.
While Grayson is considered the frontrunner in the Republican primary, "Paul will make things interesting for sure," said Al Cross, a veteran political writer in Kentucky and director of the Institute for Rural Journalism and Community Issues at the University of Kentucky.
"Trey Grayson is a very capable person, has a great deal of potential, but he has never really run a high-profile, hardball race, and I think that Paul is going to have the resources and the determination to hold his feet to the fire when it comes to issues," Cross said.
Elkhart mayor: Thank you President Obama
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2009/images/08/05/moore.mayor.art.cnn.jpg caption="Elkhart, Indiana Mayor Dick Moore is optimistic for economic recovery in his town where unemployment is near 17%."]
The White House today is pushing President Obama's plans to fix the economy. The president is going back to a place that was devastated by the recession: Elkhart, Indiana. Unemployment there is nearly 17%. That is up ten points since last year.
So do people there have any hope that an economic recovery is on the way? Elkhart’s mayor, Dick Moore, spoke to John Roberts on CNN’s “American Morning” Wednesday.
John Roberts: We should point out that … Elkhart, Indiana, is famous as the RV capital of America. Let’s talk about what’s been happening there. Unemployment was up around 18%, a little more than 18% for a while earlier this year. It's down a little bit to about 16.8%. Is this any kind of effect of the stimulus that the president had passed earlier this year? What's the situation there now in Elkhart?
Dick Moore: Well I certainly think so. I remember the comment that doing nothing is absolutely not an option. And I do believe something has to be done. And I think we're experiencing the effects of what has been done at this time. Here in Elkhart we're seeing some spending has increased. The economic indicators are up. And the city actually – we went to beyond 20% in unemployment. Meaning one out of every five of us was out of a job. We bettered that some by a couple of percents now. Something is happening here.
More funding for Cash for Clunkers?
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2009/images/08/04/cash.clunkers.ford.gi.art.jpg caption="With the help of the U.S. government's 'Cash for Clunkers' program, Ford Motor Co. reported an increase of approximately 1.6 percent in U.S. sales for July in comparison to the same month last year."]
The Cash for Clunkers program is getting a lot of credit for a surge in July car sales.
Right now, though, the wildly popular program is running on fumes.
If the Senate doesn't approve another $2 billion in funding this week.
The White House says the program will have to be junked.
We want to know what you think about the Cash for Clunkers program. Do you support more funding of the program? Have you used the program? Will you use it? Tell us your thoughts.
Read more: Which clunkers are being traded?
5 things to watch during recess
[cnn-photo-caption image= http://i2.cdn.turner.com/cnn/2009/images/08/04/pelosi.getty.art.jpg caption="Speaker of the House Nancy Pelosi and House Democratic leaders said they are sending members home with written guidance on health care reform legislation, which they hope to pass after their summer recess."]
House Minority Leader John Boehner has predicted a “very, very hot summer.”
House Speaker Nancy Pelosi is bracing for what she calls “the fight of our lives.”
Sleepy, sweltering August, typically a month for congressional beach getaways and temperature-taking back in the district, is shaping up to be the critical month for health care reform, with major battles brewing in the Capitol and on the streets in front of members’ hometown offices.
If ever there was a time for a curtain raiser on an intermission, this is it. So here are five things to watch over the most consequential August recess in recent history:
1. Your move, Karen Ignagni
When your product is hard to sell — and health care reform has proven to be the Edsel in the White House showroom — it’s not a bad idea to single out a bad guy, and fast.
Pelosi did so last week with unusual bluntness, declaring outright war on the health insurance industry as her caucus splintered over the controversial public option. The speaker called insurers “villains” and charged them with “immoral” billing and coverage practices.
The question now: Will the insurance industry, which has tried to keep a low profile while maintaining the proverbial seat at the table, commence a big, mean anti-reform counterattack — à la 1994’s “Harry and Louise” ads?
Presidential meeting: Obama's 6 month checkup
Obama administration huddles to assess, set goals
Another tough week ahead for the president. The debate on health care reform moves forward in the Senate and there are some big new worries today about unemployment benefits and paying down the debt. The president got his top advisers together this weekend to take stock.
What do you think? What must Obama accomplish in the next 6 months? How would you advise the president?
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