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Boiler Room Squad Raids Company Suspected of Scam

Fraud: Health Care Partners of Yorba Linda is accused of bilking customers of work-at-home program.

June 17, 1999|ROBIN FIELDS | TIMES STAFF WRITER

Agents with Orange County's boiler room task force raided a Yorba Linda company on Wednesday, searching for evidence that it fleeced customers in a work-at-home medical billing scheme.

An affidavit filed in U.S. District Court in Los Angeles accuses Health Care Partners, which also operated under the name Medical Billing Associates, of wire and mail fraud.

Investigators say the company, which incorporated in May 1998, attracted hundreds of customers nationwide with promises that they could make up to $30,000 a year by processing doctors' bills on their home computers.

Customers bought billing software programs for $349 apiece and, for additional payments, were given referrals to doctors, officials say.

About 100 people complained to Better Business Bureaus that Health Care Partners refused to give them refunds when the medical leads failed to pan out, the affidavit says.

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