
UBiome Offices Searched by FBI - jbergstroem
https://www.wsj.com/articles/ubiome-offices-searched-by-fbi-11556301287
======
schmatz
I was stupid enough to sign up for their SmartGut program. They never clearly
disclose how much the test costs if you opt to use your insurance. They’re
$2700. Not only that, they make it seem like you purchased 6 tests, but the
$2700 charge is per test. Their billing practices are questionable, at least
from the perspective of the consumer. On the BBB page for uBiome tons of
people are complaining. While I can afford the surprise charge, I feel bad for
the many that surely cannot.

~~~
homero
They promised to only take what your insurance paid and not bill you any
remainder. My insurance refused one and paid another. They ate the first one.
But it's a ridiculous amount to bill my insurance so i didn't do anymore. They
got shady when they started sending emails where just by clicking they would
"resequence" your sample.

~~~
tschwimmer
>They promised to only take what your insurance paid and not bill you any
remainder.

This sounds like insurance fraud. [0]

[0] [https://www.ajmc.com/contributor/andria-jacobs-rn-ms-cen-
cph...](https://www.ajmc.com/contributor/andria-jacobs-rn-ms-cen-
cphq/2015/07/waiving-copays-and-deductibles-waves-a-red-flag)

~~~
homero
What about all the $5 drug copay promotions? A drug company just refunded my
copay.

~~~
refurb
It’s ok with private insurance, but not public insurance. The federal govt
considers it an inducement.

~~~
leelew
It’s not Ok with commercial insurance either.

~~~
refurb
If by "ok" you mean legal, yes, it is legal for drug companies to offer co-pay
assistance.

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breck
I did uBiome a couple of years ago, paying out of pocket ~$100-$200 or so for
a kit. It was ahead of its time and I think it could have a very bright
future.

At the time the it was overhyping the present-day usefulness of the data but
wasn't lying about it, similar to 23andMe. I'm hoping this is a 23andMe-like
incident and not a Theranos, where the latter I guess blatantly lied about the
accuracy of its tests. IMO (I occasionally work with microbiome data in our
bioinformatics lab), your microbiome data today is nearly useless but will be
indispensable in the future as the technology improves, and we need early
adopters to use services like uBiome to get there.

I know nothing about uBiome's newer more expensive products and/or how they
bill insurance companies. I hope they're not doing anything illegal there, or
if there is a simple settlement that can be reached a la 23andMe's FDA case. I
can't imagine they are doing anything more unethical than anyone else in the
health insurance industry, which IMO is rotten to the core (I just saw my
friend's insurance bill for a normal healthy birth + 2day stay at a hospital
in SF for over $60,000 before insurance).

~~~
refurb
Reimbursement is everything in the healthcare industry and the gov't loves to
lay the smack down on companies who play fast and loose with the billing
rules, particularly if Medicare or Medicaid is involved.

Yes, your friend's hospital bill is ridiculous, but that's doesn't mean it was
fraudulent. If uBiome is breaking the rules, they are going to be severely
punished.

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natosaichek
Video of employees walking out of the building:
[https://twitter.com/sallyshin/status/1121854424727425024](https://twitter.com/sallyshin/status/1121854424727425024)

~~~
refurb
Anyone else notice the "DCIS Police" on the cops shirt?

 _DCIS protects military personnel by investigating cases of fraud, bribery,
and corruption; preventing the illegal transfer of sensitive defense
technologies to proscribed nations and criminal elements; investigating
companies that use defective, substandard, or counterfeit parts in weapons
systems and equipment utilized by the military; and stopping cyber crimes and
computer intrusions.

Priorities: Health care fraud committed by providers that involves (a) quality
of care, unnecessary care, or failure to provide care to Tricare‐eligible
service members, retirees, dependents, or survivors; or (b) significant direct
loss to DoD's Tricare Management Activity._[1]

Maybe they just needed help with the raid and DCIS was available? Or maybe
uBiome was ripping of gov't insurers?

[1][https://en.wikipedia.org/wiki/Defense_Criminal_Investigative...](https://en.wikipedia.org/wiki/Defense_Criminal_Investigative_Service)

~~~
dragonwriter
DCIS explicitly, from the same source, is responsible for investigating, among
other things:

”Health care fraud committed by providers that involves (a) quality of care,
unnecessary care, or failure to provide care to Tricare‐eligible service
members, retirees, dependents, or survivors; or (b) significant direct loss to
DoD's Tricare Management Activity.”

Given the general concerns about UBiome, that responsibility has to be why
DCIS is involved.

------
imjk
There's not much in the way of details in this article. Some other news
sources are suggesting the company is being investigated for how they're
billing insurance companies specifically:
[https://www.cnbc.com/2019/04/26/the-fbi-just-raided-
ubiomes-...](https://www.cnbc.com/2019/04/26/the-fbi-just-raided-ubiomes-
office-for-billing-practices.html)

------
ilamont
So who are the board members who signed off on its current business plan?
Don't see anything on the site about the corporate board, just the SAB. The
Crunchbase list
([https://www.crunchbase.com/organization/ubiome/advisors/curr...](https://www.crunchbase.com/organization/ubiome/advisors/current_advisors_image_list#section-
board-members-and-advisors)) seems outdated in light of the funding it has
received from Andreessen, OS Fund, and 8 VC.

------
2coolbaby
My gut bacteria was destroyed by antibiotics plus after my latest round I
ended up with the c-dif toxin that can be fatal. My microbiome results were so
important in getting my gut bacteria recovered and taking the right probiotics
to do it. So, anyone saying the results are useless obviously never saw a set
of them. I’m disappointed that this has happened because I was just starting
to get my gut bacteria in line through good diet and probiotics. No snake or
essential oils necessary! (Puts crystals away and looks at that poster with
sarcasm!).

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reureu
I wonder if all the microbiome sequence data that UBiome collected will wind
up in some FBI database now.

~~~
atomical
uBiome was mostly selling pseudoscience to engineers (who should know better)
and the essential oils crowd. Once you have the data you have to do something
meaningful with it. For most uBiome users that means heading to YouTube to
figure out which guru they are going to follow.

------
lsllc
Are they seriously carrying shields and body armor?

~~~
kyrieeschaton
The FBI and most US law enforcement is notorious for ridiculous overkill and
roughing up subjects of search warrants.

~~~
drak0n1c
The FBI engaged in similar militarized theater for the recent arrest of Roger
Stone. Dozens of armored SWAT officers, automatic rifles, and a CNN war
correspondent van parked outside - all to arrest a solitary man sleeping his
pajamas.

For historical context, this trend is due to the pendulum swinging back too
far in reaction to the Miami FBI shootout [1], where officers were woefully
outgunned.

[1]
[https://en.wikipedia.org/wiki/1986_FBI_Miami_shootout](https://en.wikipedia.org/wiki/1986_FBI_Miami_shootout)

~~~
VectorLock
Roger Stone had posted multiple videos of him at a shooting range so its
reasonable for them to assume he was in the possession of firearms.

~~~
byset
so anyone who has been at a shooting range needs to be raided by a SWAT team
when arrested for white-collar crimes?

~~~
dragonwriter
The thing about a heavily armed society is that it necessitates law
enforcement preparing for armed resistance in routine tasks as a default
rather than exceptional case, if nothing else to reduce the probability of
such resistance by reducing the expectation of it being successful.

You can't reasonably both have a pervasively armed populace and law
enforcement unprepared to deal with armed resistance from suspects even when
the crime of which they are suspected is not itself violent.

~~~
kyrieeschaton
SWAT raids are a terrible way to get the drop on anyone who is actually
intending on armed resistance. They are on the other hand an excellent way to
make sure that "accidents" happen, as they routinely do. They are an obvious
terror tactic.

