Five months after the FBI and other federal and state investigators raided its headquarters in New Braunfels, and one day after the contents of that headquarters were sold at auction, the Scooter Store, once the largest private employer in Comal County, announced it is going out of business, 1200 WOAI news reports.
In a brief statement the Scooter Store said the action was taken after the Centers for Medicare and Medicaid Services announced it was freezing the Scooter Store out of its bidding process over a large amount of the country, essentially closing off its key market, the Associated Press reported.
The company said 'every effort' was made to keep the company afloat. It's remaining employees and management will be furloughed,
The Scooter Store's problems began in January, when CBS News ran an expose quoting former employees discussing the company's tactics of 'bulldozing' doctors into writing prescriptions for the firms' mobility devices, whether the patient needed the devices of not.
The Scooter Store, which was known nationwide for its hard-sell television commercials with their promise to 'get you a scooter, guaranteed' had been under scrutiny by CMMS before, but the raid followed the CBS report.
In March, the Scooter Store laid off most of what were then its 2100 employees, but promised to stay in business. In April the firm filed for bankruptcy.
The contents of its three story headquarters building west of downtown New Braunfels were sold on Friday. The building was leased, and is being eyed by Comal County as a possible home for it's long planned Justice Center.
Company officials were not available for further comment.