The Times Herald Record from Middletown, New York • Page 12

Mmtday, Sptmbr 20, 1976 THE TIMES HERALD RECORI5 NYC won't reap bounty of Medicaid fraud funds New York Times News Service NEW YORK The federal government has recovered 1600,000 in restitution and penalties from 20 operators of "Medicaid mills" in New York City, but the Beame administration is unhappy because the city and New York State will not share in the proceeds. Dr Lowell E. Bellin, the city's health commissioner, has accused Justice Department officials of refusing to permit joint court action through which the city and state might recoup tiieir share of the fraudulent Medicaid claims. In reply. Robert B.

Fiske Jr. the U.S. attorney for the Southern District of New York, has criticized city and state officials for failing to take timely action against the Medicaid providers. The dispute centers on prosecutions for overtoiling and other fraudulent practices that go back to 1969. City authorities began investigating the Medicaid abuses more than five years ago and early More Teamsters to quit New York Times News Service NEW YORK At least a half-dozen more trustees of the teamster's largest pension fund are expected to resign in coming weeks as the fund seeks to reach an accommodation with the government that would blunt the three-way investigation now under way into the operation of the fund.

Two trustees of the Central States, Southeast and Southwest Areas Pension Fund of the International Brotherhood of Teamsters were forced to quit last week after six weeks of pressure during which they had balked at going quietly. Mondale tours ethnic areas More on Campaign '76: Pages 6, 18,24 NEW YORK (UPI) Walter Mondale campaigned through Brooklyn's ethnic neighborhoods Sunday, riding a horse cart, eating bagels and accusing the Ford administration of ignoring the cities. Mondale, appearing with Mayor Beame and Democratic Senate nominee Daniel P. Moynihan, told a mostly friendly crowd on Atlantic Avenue, "We've had enough" of an administration that can't provide enough jobs or housing in the cities. "For eight years we've had a government Li Washington who thought that you could turn your back on the cities where most Americans live and still have a hopeful and vibrant America," he said.

"We know better. It hasn't worked." NYC forms computer-access panel NEW YORK (UPI) A new agency, under the joint supervision of Mayor Abe Beame and the New York City comptroller, has been created to provide coordinated access to New York's computerized financial management system, it was announced Sunday. The Financial Information Services Agency will be headed by three directors, one appointed by Beame, one by Comptroler Harrison J. Goldin and one appointed on the recommendation of the other two directors, according to an executive order signed by the mayor. The executive order will serve as a bridging mechanism until appropriate legislation is passed by the city council to establish a five person governing commission, the announcement said.

DMV announces course program ALBANY (UPI) Drivers concerned about the number of points against their licences could participate in a Defensive Driving Course to have them reduced under a program announced Sunday by the Department of Motor Vehicles (DMV). A $25 fee would go entirely to cover the cost of materials, instructors and administrative expenses for the course, which will be run by local Safety Councils in conjunction with the DMV and the National Safety Council, according to Commissioner James Melton's office. Firemen: Insurers encourage arson ALBANY (UPI) A state firefighters' group Sunday charged insurance companies are encouraging arson by paying fire insurance claims and raising rates to cover losses instead of investigating suspicious blazes. In a statement, Robert Gollnick, president of the New York State Professional Fire Fighters Association, said the incidence of arson has tripled in the state in the last 10 years, and losses in fires have gone from $80 million to $126 million. Gollnick charged that despite the increases, insurance companies in 1970 stopped funding arson investigators who worked for the Insurance Service Organization.

Jersey keeps eye on casino group TRENTON (UPI) A casino group with a multi-million dollar investment in legalized gambling in Atlantic City has been watched by state law enforcement agencies for at least five years, it was disclosed Sunday. The state police, at the request of Gov. Brendan T. Byrne's administration, has quietly looked into persistent rumors of a connection between Resorts International Inc. and organized crime.

The current investigation of Resorts was given new impetus by a move to open Atlanic City to casino gambling, but a state police agent said New Jersey police have been keeping a file on the company at least since 1971. New trains brought 'nose-to-nose' RENSSELAER (UPI) The state brought two turbo railroad trains head-to-head Sunday in ceremonies marking the beginning of high-speed turbo-train passenger service between New York City and Buffalo. The trains, each of which has an engine capable of producing about 1,100 horsepower, nearly touched noses on the same track as each got a bath of New York State champagne from Ellen Schiller, 13-year-old daughter of Transportation Commissioner Raymond Schuler. One train came from New York City and one from Buffalo over the weekend, each stopping for inspections along the way before beginning regular service Monday, Schuler said. in 1922 turned information alleging fraud by more than a score of doctors and other Medicaid providers to the U.S.

Attorney. By 1975 indictments had been brought in federal court and 20 convictions were subsequently obtained, mostly through guilty pleas. Some of the defendants received prison sentences, including two chirpodists, Joseph Ingber and Sheldon Styles, both of whom testified last month at Senate hearings at which it was revealed that more than 110 medical practitioners had received Medicaid payments of $100,000 or more in 1975, with individual amounts ranging as high as $785,114 Dr. Ingber and Styles were sentenced to five years each. Following the convictions, federal authorities began civil actions to recover the overbillings to Medicaid, the government program that pays medical bills for the poor.

Since Washington foots 50 per cent of medicaid outlays, with the state and New York City each paying 25 per cent, the U.S. Attorney sued for only half of the fraudulent disbursements. To date, according to Fiske, a total of $600,000 has been recovered, representing restitution of the amounts overtoiled, penalties of an equal sum and payment by the defendants of the cost of investigation and prosecution. Dr. Bellin contends, however, that the federal actions have forced the city and state to institute suits of their own, adding to the cost of recovery and further crowding court calendars.

Hospitals adopt rules on research NEW YORK (UPI) The New York City Health and Hospitals Corp. (HHC) has adopted guidelines believed to be among the most comprehensive in the nation for controlling research projects involving human patients, officials said Sunday Dr. Edmund O. Rothschild, senior vice president of the corporation, said the new the gap in communica tions that allows the myth to per sist that doctors use municipa hospitals as guinea pigs." The rules, which were adopted by HHC directors at a Sept. 9 meeting and now are being sent out to the 16 municipal hospitals operated by the corporation, "assure informed consent and the right of patients to refuse to participate," HHC president, Dr.

John L.S. Holloman, said. According to the rules, each hospital's medical board will establish a research committee which will include a representative of the hospital's community board to evaluate research proposals. Any research on children is forbidden except by special permission. ehr ilimra flrralrt Walkin' the dog ofrkfc, a 6-yai-otd Gtman Ttrhr, seems to be walking hk owner, Mrs.

Heen frdos of liberty, instoad oi tho ofher way around. Mrs. frdee soys she bought Patrick in I uropo. Record pbofo by John Simon Clergy view ordination of women Episcopal clergymen in the region feel it's time to return to the spiritual needs of church members in the wake of a vote last week to permit women to be ordained as priests. Their views and comments from a potential woman priest are detailed.

Page 4 Tax revisions detailed There's no brief way to explain how the tax-revision bill awaiting President Ford's signature will affect everyone, but some individual cases are analyzed in today's TH-R. Page 6 index U.S. to unveil park plan CORD 11. Ha il JO, If 74 Published eyers morning Monday through Salur-da ejcept cf ruin legal holidays In Orange foun is Publications Division of Ollawav Newspapers Ino to Mulberry St Middtetown 10M0 FtNCUL RESPONSIBILITY The Times Herald Record will not assume ail financial responsibility for failure to publish a display classified or legal ad-or for typographical er rors ejrept to the eulenl of reprinting that pari of the ad which was nmitled or error Omissions or errors must be brought to the attention of the newspapers no later than the da following publication RATE'S Home delivered Newsstands Vjnda Record per week 25 per copy 20" NET PAID CIRCULATION Daily August 1976 60,590 August 1975 58.059 Amusement 28 Business 34 Landers 13 Jack Anderson 27 Classified 35 Memos 16 Around Nation 7 Comics 30 Obituaries 32 Around Region 8 Crossword 30 People in News 21 Around World 7 Crypto Quote 30 Police Blotter 22 Bedell 10 Editorial 26 School 11 Bishop 27 Family Living 9 Sports 45 Brides 12 Fire Calls 22 TV 33 Bridge 31 Heloise 30 Thosteson 14 Buckley 27 Horoscope 31 Weather 8 TRENTON N.J. (UPI) The federal government will unveil this week a master plan for the development of the $300-million Gateway National Recreation Area in the New York-New Jersey metropolitan region, according to officials.

Joseph Antosca, a National Park Service official who is in charge of the plan, said the preservation of Sandy Hook as a unique natural environment and historical site is one of the main features of the plan. Antosca and other National Park Service officials said that better docking facilities would be built to provide easier access to Sandy Hook, a stretch of sand and wildlife jutting out into the Raritan Bay..