Office of the Attorney General
Attorney General Stumbo Announces Arrest of Former Lexington Medical Supply Dealer

Press Release Date:  Wednesday, June 28, 2006  
Contact Information:  Vicki Glass, 502-696-5643 Office  

Attorney General Greg Stumbo today announced that agents from the Kentucky Bureau of Investigation (KBI) have arrested Jeramey Etherton, a 34-year-old former medical supply dealer in Lexington who worked for Wheelpower, Inc. and Heartland Medical from 2000-2002.

Etherton was convicted of felony theft from the Medicaid program in 2004.  Through the company, he purported to supply power wheelchairs and hospital beds to Kentucky Medicaid recipients. Such items required certificates of medical necessity (CMN’s). Etherton would falsify CMN’s and then present falsified claims requesting payment for the equipment from Medicaid.

“This theft of tax dollars must be repaid,” said Attorney General Stumbo.  “It is inexcusable to steal from a program that serves the medical needs of the poor.”

The one year Class D felony sentence was probated on the condition that he make full restitution of $119,000 fraudulently obtained in Medicaid payments from the Kentucky Medical Assistance Program.

Etherton failed to make restitution payments and failed to appear in Franklin Circuit Court in May, 2006. A bench warrant was issued by Judge William Graham. Etherton is being lodged at the Franklin Detention Center.

Jeramey Etherton
Jeramey Etherton, 34