PLMD admits over billing Medicare.

Asensio & Company, Inc. reiterates its Strong Sell and Short Sell opinion on shares of PolyMedica Corporation’s publicly traded common stock (NASDAQ: PLMD, $25.75). Our latest research report issued today is available at

The report is a response to comments made by PolyMedica’s Chairman and Chief Executive Officer concerning the federal government’s criminal investigation of PolyMedica and PolyMedica’s disclosure that it had collected, by its own admission, an estimated $17.7 million from Medicare without having the required doctor’s orders. PolyMedica’s CEO claimed that amount was based on a sample study that PolyMedica had created and executed.

PolyMedica did not disclose the study or any information concerning its calculation of the estimated amount. Yet PolyMedica went on to characterize the $17.7 million in over billing as not systemic, materially insignificant and merely due to acting “not strictly in accordance with Medicare rules.” The disclosures were made during PolyMedica’s February 5th earnings conference call.

It is important to note that the individual making the statements on behalf of PolyMedica, Samuel L. Shanaman, age 62, had been PolyMedica’s Interim Chief Executive Officer. PolyMedica has been seeking a Chairman and CEO since its long-time CEO left in August 2002. Mr. Shanaman was made Chairman and CEO after a 17 month search failed to find anyone to accept the position. Four of PolyMedica’s five largest individual shareholders and its three top officers have left in the wake of PolyMedica’s criminal investigation.

It is Asensio & Company, Inc.’s opinion that PolyMedica’s reported criminal conduct has grossly inflated its stated earnings and created liabilities that far exceed its highest-estimated asset value. Exclusive of this evaluation, we believe PolyMedica’s accounting policies have overstated its assets and sales, and understated its expenses. We also have a strong negative opinion about its management. Asensio & Company, Inc. believes PolyMedica’s stock is grossly overvalued. Our reports on PolyMedica are available at

All of Asensio & Company, Inc.’s reports are covered by the terms and conditions of the mandatory user agreement located at /?page_id=25. The statements below are a part of the user agreement whose entirety is incorporated herein by reference. These statements, and all of the statements contained in the mandatory user agreement, are intended to strictly limit our potential liability to you and your possible legal rights to the fullest extent of the law. Readers are advised to carefully read the entirety of the mandatory user agreement and strictly adhere to the directions given therein.

INVESTMENTS IN SECURITIES, COMMODITIES OR FUTURES HAVE INHERENT RISK, AND A PERSON TAKES SUCH RISKS KNOWINGLY AND BEARS FULL RESPONSIBILITY FOR HIS/HER OWN INVESTMENT RESEARCH AND DECISIONS. Use of this site is at your own risk. None of the information contained herein should be construed as an offer to sell or a solicitation of an offer to buy any securities. In cases where there exists controversy concerning a company’s disclosures, investors should not sell or buy their shares based on the theory that markets price securities efficiently. Furthermore, investors should not rely on the market to substitute for their own individual due diligence and deliberate decision making.

All of the information provided by Asensio & Company, Inc. at must be taken as a whole and in its entirety. All of the statements on involve, concern and are directed at public issues and public controversies of interest to the public at large. contains no statements of fact. All of the statements published by constitute written opinions and are not provided to assist any individual or entity in making any investment decision.

Posted in PolyMedica Corporation

Manuel Asensio doesn’t bet often. But when he does, it’s wise to pay attention.

Paul Kaihla
eCompany Now
1 2 3 4 5 6 7 8 9
About Our Founder
Learn more about's founder, Manuel P. Asensio, and the website's origins. Click here to be directed to Mr. Asensio’s professional biography.
Media Record
Click here to see selected articles that discuss's work and its unique legacy. also strives to maintain a complete record of articles dealing with the companies that are the subject of research.
Investment Record
Click here to view a list of the companies that have been subjects of reporting and click here to see the complete investment record.
Asensio and FINRA
Asensio & Company, Inc. and Manuel P. Asensio are the only dedicated short sellers ever to have been members of FINRA. This unique-minority membership created complications in the regulatory relationship. Being the first activist short investors and among the first FINRA member firms with a website added to the complexity. A statement by Mr. Asensio is available here. Information necessary to obtain a meaningful understanding of the dispute is available in complete form HERE.