On Tuesday, July 31, 2018, Hershel Arrowood, Lesa Arrowood, Terry Herald, and Arrow-Med Ambulance, Inc. each pled guilty to health care fraud, in connection with fraudulent claims to Medicare and Medicaid for medically unnecessary ambulance transports. Jay Arrowood has owned and operated Arrow-Med in Breathitt County since September 2012. He, Terry Herald, and Arrow-Med admitted that between September 2012 and August 2015, they worked together to submit false claims to Medicare and Medicaid seeking payment for non-emergency ambulance transports provided to certain patients. Lesa Arrowood, Jay’s wife, admitted that she knowingly joined the scheme in December 2013. The scheme resulted in the defrauding of $249,539 from Medicare and Medicaid. The defendants are currently scheduled to appear for sentencing before Judge Joseph M. Hood on October 29, 2018.