Licensure scams: Red flags to know to avoid becoming a victim

Over the last few years, state licensing agencies, including those licensing occupational therapy practitioners, have been reporting that scammers are contacting licensees, pretending to be agency staff or law enforcement, and demanding payment to make an investigation into alleged misconduct “go away.” The callers sometimes use a device to hide their real phone number and make the licensee think they are calling from a state agency or law enforcement agency (a type of scam called “spoofing”). A physical therapist in Michigan was a victim of such a scam in 2021.

To avoid being victimized, you should 1) watch for certain “red flags” and 2) understand the disciplinary process in your state.

The red flags presented by this scenario that you should be aware of are:

• Contact is made by telephone, rather than by postal mail, certified mail, or email,
• The caller uses an aggressive, urgent, bullying tone,
• You receive no advance notice or prior contact from the licensing agency regarding a complaint or investigation,
• Correspondence or paperwork regarding the complaint or investigation is not sent to your home or place of business, but to a public place where faxes and emails can be received,
• The caller demands personal information, like your social security number, NPI number, or credit card information,
• The caller demands that you send payment within a certain number of days, to a foreign country, or in the form of a gift card, wire transfer, or cryptocurrency,
• You are told not to visit the agency’s website or talk to agency staff about the complaint,
• You are advised against obtaining an attorney or legal advice, and
• You are told that the complaint is about action you allegedly took that is not within the occupational therapy scope of practice (e.g., prescribing of drugs).

The disciplinary process followed by state licensing agencies is generally codified in law or regulation and affords the licensee certain rights while also requiring the agency staff to follow certain procedures. If you are the subject of a legitimate complaint or investigation by a state agency, you can expect to be:

• notified of an investigation before the agency takes action against your license (some states have the authority to suspend a license without first notifying the licensee under specific circumstances),
• invited for an interview with agency staff to tell your version of what happened,
• informed in writing of the closure of the investigation or of the sanction levied against you, and
• informed of your right to an appeal.

If you suspect that you have been the victim of a scam or if you or a colleague have been contacted by someone demanding money in exchange for ending an investigation into you, contact local law enforcement or your state occupational licensing agency.