Raid Caps Troubled Period for Scooter Store

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    NEWSLETTERS

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    Low section of a handicapped man in a scooter and woman standing with cane.

    Residents in a Central Texas county are wondering about the future of one of its largest employers -- a troubled power wheelchair and scooter company -- after the firm's headquarters was raided this month as part of an investigation into alleged fraud.

    The San Antonio Express-News reports the raid capped a tumultuous period for The Scooter Store, known for its ubiquitous television ads.

    The New Braunfels, Texas-based company earlier this month cut 150 jobs, blaming pending government changes in claims processing and reimbursement. The company in September laid off about 220 workers, citing a drop in Medicare reimbursements.

    In December, two U.S. senators questioned why The Scooter Store had received as much as $87.7 million in Medicare overpayments.

    Scooter Store officials have denied wrongdoing and defended their business practices.