State cancels medical van contract after FOX25 investigation

BOSTON — The state has cut off taxpayer money to a medical van contractor as a result of a FOX25 investigation uncovering safety problems at the company.

Investigative reporter Eric Rasmussen first exposed serious safety issues with Health Line Transport, Inc. vans – including a broken mirror, defective seat belt and body damage – back in January.

The company has raked in more than $350,000 in public money to transport patients on state health insurance since 2013.

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Now, FOX25 Investigates has learned Mass Health canceled Health Line Transport’s contract, citing FOX25’s “investigative report describing safety concerns with the company’s vehicles,” according to a termination letter to the company dated Jan. 20.

Health Line Transport disputed that decision, but Mass Health issued a final ruling to uphold that termination on March 23.

New records also show Mass Health inspectors visited Health Line Transport owner Richard Peisch just two days after FOX25 Investigates first reported on the company in January.

In that report, two former drivers and multiple patients told FOX25 the vans were falling apart – citing multiple ongoing problems, including malfunctioning brakes and a door to one van that flew open after the vehicle rounded a curve.

Peisch has told FOX25 his vans are “perfectly safe” and in a letter to the state blamed a “disgruntled ex-employee” for “fabricating non-existent service issues.”

Peisch now says he plans to continue to appeal the state’s decision to terminate his contract with Mass Health.

Cox Media Group