Oklahoma Attorney General Gentner Drummond has filed a civil lawsuit accusing the Neuropathy Treatment Clinic of Oklahoma and its owner of engaging in a multi‑year scheme to fraudulently bill Medicaid for services that were allegedly not medically necessary or covered by the state’s SoonerCare program.
The state claims that the clinic re-coded device and injection treatments, as well as billed for larger drug doses than were actually administered, resulting in an improper $1 million in SoonerCare payments.
Details of the Lawsuit
On March 26, 2026, the Attorney General’s office filed a 21-page petition in Oklahoma County, naming the Neuropathy Treatment Clinic of Oklahoma, LLC, and its owner, James Warren Linn Jr., as defendants. The lawsuit claims that the alleged fraudulent activity spanned from August 2021 through August 2025, during which time the clinic targeted SoonerCare reimbursements through deceptive billing practices.
The petition seeks restitution for the overpaid funds, as well as civil penalties, including treble damages (three times the amount of the fraudulently obtained funds), and per‑claim penalties. The filing also requests a jury trial, aiming for full recovery of the improperly billed Medicaid funds.
Clinic Locations and Patient Access
The Neuropathy Treatment Clinic of Oklahoma operates locations in both Tulsa and Oklahoma City. The clinic’s publicly available contact information lists an office at 4636 S. Harvard Ave in Tulsa and another at 6001 NW 139th St. in Oklahoma City. Patients can reach the clinic through the listed phone numbers, fax lines, and appointment links provided on the clinic’s official website.
Allegations of Fraudulent Billing Practices
The lawsuit alleges that the clinic used Sanexas nerve‑stimulation treatments—services not covered by Oklahoma Medicaid—then re‑coded these treatments as physical therapy in order to receive payments.
Additionally, the clinic allegedly purchased 1-gram vials of Carnitor (levocarnitine), diluted them into a 90% saline solution called “Carnitor Blend,” and administered small amounts of the mixture, while billing Medicaid as though full‑gram doses had been given.
In one deceptive practice, the clinic is accused of spreading the diluted drug across multiple injection sites to claim multiple billing units per patient visit. The state’s lawsuit highlights how this manipulation of billing codes and dosage amounts led to inflated reimbursements from SoonerCare.
Billing Consultant’s Role in the Scheme
The lawsuit also names Michael Evans, a billing consultant, as part of the scheme. Evans, listed as the owner and managing member of the National Billing Institute, is accused of working with the clinic on the misrepresentation of coding and drug dosages. The complaint suggests that Evans’ involvement is part of a larger civil effort by the state to recover taxpayer funds, rather than immediate criminal action.
Legal Context and Enforcement Actions
The state is pursuing legal action under Oklahoma’s Medicaid False Claims framework. If the state prevails in the lawsuit, the Neuropathy Treatment Clinic and its owner could be required to repay the misappropriated SoonerCare funds, face statutory penalties, and potentially face exclusion from participating in Medicaid programs in the future. The case represents the ongoing efforts of the Attorney General’s Medicaid fraud unit, which has pursued similar actions in recent months.
Ongoing Investigation and Future Developments
The case is set to proceed in Oklahoma County District Court, where the parties will exchange discovery documents, and the judge will issue scheduling orders and hearing dates.
As the investigation unfolds, patients who received treatment at the clinic may be contacted as part of the review process. Additionally, regulators may use the case to flag similar fraudulent billing patterns at other medical facilities.
The Attorney General’s office is expected to release further public statements and court filings in the coming months, which could provide more insight into how aggressively the state plans to pursue this recovery and the potential for further legal action.
Legal and Financial Repercussions
The lawsuit filed by Oklahoma’s Attorney General marks a significant step in the ongoing effort to combat Medicaid fraud within the state. If the court rules in favor of the state, the Neuropathy Treatment Clinic and its owner could face severe financial penalties and be barred from participating in future Medicaid programs.
This case also serves as a reminder of the importance of safeguarding taxpayer dollars and maintaining integrity in the healthcare system.
