HUNTINGTON — A motion for default judgment has been filed in a case involving a Barboursville company that allegedly failed to pay back funds overpaid by a health plan.
Michael Holland, Michael McKown, William Hobgood, Marty Hudson, Joseph Reschini, Carl Vanhorn and Gail Wilensky, as trustees of United Mine Workers of America Combined Benefit Fund, et al, filed a complaint in the U.S. District Court for the Southern of West Virginia against Trans-Med LLC citing the Employee Retirement Income Security Act.
"Defendant has failed to appear in this action," the motion states. "Default was duly entered by the clerk against the defendant on April 30, 2019. Defendant is indebted to the Plaintiffs in the amount of $197,131 for monetary damages, interest in the amount of $15,451.83, attorneys’ fees in the amount of $3,306, and costs in the amount of $420."
The plaintiffs are seeking entry of an order of default judgment in favor of the plaintiffs in the amount of $216,308.83.
The suit states in July 2012, the UMWA Health Plan entered into a medical transportation network preferred provider agreement with the defendant.
The plaintiffs allege the defendant "fraudulently misrepresented" claims for nonemergency transport services and, as a result, they overpaid. The suit states an audit revealed the health plan overpaid the defendant by $197,131 from January 2015 to March 2017.
The suit states the defendant was given the option of refunding the entire amount over a period of time or all at once in a letter dated in October 2017. The defendant has allegedly failed to pay any of the amount owed.
The plaintiffs are seeking all reasonable sums due, attorney's fees and court costs. They are represented by Gary Collias in Charleston and Abigail Petouvis of the UMWA Health and Retirement Funds Office of the General Counsel in Washington, D.C.
U.S. District Court for the Southern of West Virginia case number 3:19-00180