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Criminal and Civil Enforcement

Criminal and Civil Enforcement Archive

March 2016

March 21, 2016; U.S. Department of Justice Medicare Fraud Strike Force Case
Florida Audiologist Sentenced to 94 Months in Prison in Multimillion-Dollar Health Care Fraud and Money Laundering Scheme
A Florida audiologist was sentenced to 94 months in prison today for her role in a multimillion-dollar health care fraud and money laundering scheme.
March 18, 2016; U.S. Department of Justice Medicare Fraud Strike Force Case
New Orleans Jury Convicts Company Owner and Doctor for Roles in $34 Million Fraud Scheme
A federal jury in New Orleans convicted the owner of a health care company and a doctor for their roles in a $34 million Medicare fraud scheme that operated over the course of seven years in New Orleans and surrounding communities.
March 17, 2016; U.S. Department of Justice
Owner of Two Miami Clinics Sentenced to 82 Months for Health Care Fraud Charges
An owner of two fraudulent medical clinics in the Miami area was sentenced to 82 months in prison today for his role in a Medicare fraud scheme that caused more than $3 million in losses.
March 16, 2016; U.S. Attorney; Eastern District of Missouri
Kirksville Owner of Prosthetics Company Sentenced
St. Louis, MO - Theodore Deininger was sentenced to 15 months imprisonment and ordered to pay $150,000 in restitution.
March 15, 2016; U.S. Attorney; Western District of North Carolina
Charlotte Man Sentenced To Three Years In Prison For $2 Million Health Care Fraud Scheme
CHARLOTTE, N.C. - U.S. Attorney Jill Westmoreland Rose announced today that Eric Bernard Mitchell, 44, of Charlotte, was sentenced to 37 months in prison for defrauding Medicaid of over $2 million. U.S. District Judge Max O. Cogburn, Jr. also ordered Mitchell to serve one year under court supervision and to pay $ 2,049,932.12 as restitution to Medicaid. Mitchell pleaded guilty October 2015 to health care fraud and money laundering charges.
March 14, 2016; U.S. Attorney; District of New Jersey
Bergen County, New Jersey, Doctor Who Billed For Bogus Office Visits, Altered Patient Medical Records Sentenced To More Than Three Years In Prison
NEWARK, N.J. - A family physician with offices in Cresskill and Little Falls, New Jersey, was sentenced today to 37 months in prison for defrauding Medicare, Medicaid and private insurance companies out $280,000 by billing them for non-existent office visits, U.S. Attorney Paul J. Fishman announced.
March 11, 2016; U.S. Attorney; Northern District of Illinois
Chicago Psychiatrist Who Took Kickbacks to Prescribe Mental Health Medication Sentenced to Nine Months in Federal Prison
CHICAGO - A Chicago psychiatrist was sentenced today to nine months in federal prison for accepting nearly $600,000 in fees and benefits from pharmaceutical companies in exchange for prescribing a medication to his patients.
March 9, 2016; U.S. Attorney; District of Idaho
Two California Men Plead Guilty to Conspiracy to Distribute Oxycodone and Hydromorphone
BOISE - Michael Kulikoff, 30, and Kenneth Miller, 57, both of California City, California, pleaded guilty yesterday to conspiracy to distribute oxycodone and hydromorphone, U.S. Attorney Wendy J. Olson announced. Co-defendants Diane Miller, 41, and Crystal Clark 43, also of California City, California, previously pleaded guilty to conspiracy to distribute oxycodone and hydromorphone. Diana Miller was sentenced on January 15, 2016, to 15 months in prison, to be followed by five years of supervised release. All four were indicted by a federal grand jury in Boise on May 12, 2015.
March 9, 2016; U.S. Attorney; Eastern District of Pennsylvania
Ambulance Company Employee Sentenced To 37 Months In Prison For Fraud
PHILADELPHIA - Fritzroy Brown, 39, of Philadelphia, PA, was sentenced today to 37 months in prison for a healthcare fraud scheme centering on Brotherly Love Ambulance, Inc. In addition to the prison term, U.S. District Court Judge Gerald J. Pappert ordered three years of supervised release, restitution in the amount of $2,015,712.52 to Medicare, restitution of $14,150 to the Commonwealth of Pennsylvania, and a $300 special assessment.
March 8, 2016; U.S. Attorney; Middle District of Florida
United States Settles False Claims Act Allegations Against 21st Century Oncology For Nearly $34.7 Million
United States Attorney A. Lee Bentley, III announces that the government has formally settled a lawsuit brought by a whistle-blower alleging that one of the nation's largest radiation oncology providers, 21st Century Oncology, has agreed to settle allegations that they performed and billed for procedures that were not medically necessary. Pursuant to the settlement agreement, 21st Century shall pay the United States $34,695,243 to resolve these allegations. Headquartered in Fort Myers, 21st Century has offices in 16 states.
March 8, 2016; U.S. Attorney; District of New Jersey
Bergen County, New Jersey, Doctor Charged With Taking Bribes
NEWARK, N.J. - A family doctor practicing in Bergen County, New Jersey, was charged today with accepting bribes in exchange for test referrals as part of a long-running and elaborate scheme operated by Biodiagnostic Laboratory Services LLC (BLS), of Parsippany, New Jersey, its president and numerous associates, U.S. Attorney Paul J. Fishman announced.
March 7, 2016; U.S. Department of Justice Medicare Fraud Strike Force Case
Florida Man Sentenced to More than 14 Years in Prison for Multimillion-Dollar Health Care Fraud and Money Laundering Scheme
A Land O' Lakes, Florida, businessman was sentenced by a judge in federal court in Tampa today to 174 months in prison for his role in a multimillion-dollar health care fraud and money laundering scheme.
March 4, 2016; U.S. Attorney; Southern District of Florida
Doctor Who Falsely Diagnosed Hundreds Of Patients As Part of a Medicare Fraud Scheme Pleads Guilty
Dr. Isaac Kojo Anakwah Thompson, 57, of Delray Beach, pled guilty to one count of health care fraud.
March 4, 2016; U.S. Attorney; Northern District of Illinois Medicare Fraud Strike Force Case
Oak Brook Doctor Convicted in Kickback Scheme at Sacred Heart Hospital
CHICAGO - A federal jury today convicted an Oak Brook doctor of illegally receiving benefits in exchange for referring elderly patients to Sacred Heart Hospital on Chicago's West Side.
March 4, 2016; U.S. Attorney; Southern District of Texas
Houstonians Plead Guilty in $13 Million Health Care Fraud Case
HOUSTON - The leader and four others charged in a $13 million Medicare and Medicaid health care fraud case have entered guilty pleas for their respective roles, announced U.S. Attorney Kenneth Magidson.
March 4, 2016; U.S. Attorney; Northern District of Texas
Federal Jury Convicts Dallas Anesthesiologist on Health Care Fraud Offenses Involving Approximately $10 Million in Fraudulent Billings
DALLAS - Following a four-day trial before U.S. District Judge Reed C. O'Connor and approximately three hours of deliberation, a federal jury has convicted Dr. Richard Ferdinand Toussaint, Jr., a licensed anesthesiologist, on all counts of a superseding indictment charging seven counts of health care fraud, announced U.S. Attorney John Parker of the Northern District of Texas.
March 2, 2016; U.S. Department of Justice
Former Owner of Florida Home Health Care Companies Agrees to Pay $1.75 Million to Resolve Kickback and False Claims Act Allegations
Mark T. Conklin, the former owner, operator and sole shareholder of Recovery Home Care Inc. and Recovery Home Care Services Inc. (collectively RHC) has agreed to pay $1.75 million to resolve a lawsuit alleging that he violated the False Claims Act by causing RHC to pay illegal kickbacks to doctors who agreed to refer Medicare patients to RHC for home health care services, the Department of Justice announced today. Conklin sold the RHC companies to National Home Care Holdings LLC, on Oct. 9, 2012.
March 2, 2016; U.S. Attorney; Eastern District of Missouri
Local Chiropractor and Billing Assistant Sentenced on Health Care Fraud Charges
St. Louis, MO - Dr. Donald Havey was sentenced to 51 months in prison and ordered to pay restitution of $2,276,221 on charges involving a scheme to bill Medicare for expensive custom ankle-foot orthotics that were never provided to the patients. His billing assistant, Susan Reno, was sentenced earlier to five years of probation and ordered to pay restitution of $10,571.
March 1, 2016; U.S. Department of Justice Medicare Fraud Strike Force Case
Former Fugitive Pleads Guilty in Florida Multimillion-Dollar Health Care Fraud Scheme
A Cuban national who fled the United States and had been wanted since 2013 on federal criminal charges relating to a multimillion-dollar health care fraud scheme in the greater Tampa Bay, Florida, area pleaded guilty today for his role in the scheme.
March 1, 2016; U.S. Attorney; District of Connecticut
Stamford Podiatrist Who Submitted False Claims is Sentenced
Deirdre M. Daly, United States Attorney for the District of Connecticut, today announced that AMIRA MANTOURA, 53, of Greenwich, was sentenced yesterday by U.S. District Judge Michael P. Shea in Hartford to three years of probation, and a fine that will result in MANTOURA paying three times the amount of money she stole by submitting false claims to Medicare and other health insurance plans. MANTOURA also will be required to perform 200 hours of community service as part of her sentence.
March 1, 2016; U.S. Department of Justice
Medical Equipment Company Will Pay $646 Million for Making Illegal Payments to Doctors and Hospitals in United States and Latin America
The United States' largest distributor of endoscopes and related equipment will pay $623.2 million to resolve criminal charges and civil claims relating to a scheme to pay kickbacks to doctors and hospitals, U.S. Attorney Paul J. Fishman of the District of New Jersey and Principal Deputy Assistant Attorney General Benjamin C. Mizer of the Justice Department's Civil Division announced today. U.S. Attorney Fishman and Principal Deputy Assistant Attorney General David Bitkower of the Justice Department's Criminal Division also announced that a subsidiary of the distributor will pay $22.8 million to resolve criminal charges relating to the Foreign Corrupt Practices Act (FCPA) in Latin America.

February 2016

February 26, 2016; U.S. Department of Justice
Two Dallas-Area Doctors and Four Others Charged for Roles in $13.4 Million Medicare Fraud Scheme
Six individuals, including two Dallas-area doctors, were charged in a superseding indictment that was unsealed today for their alleged participation in a $13.4 million health care fraud scheme involving fraudulent claims for home health services.
February 25, 2016; U.S. Attorney; District of Columbia
Maryland Woman Pleads Guilty to Conspiring to Taking Part In Scheme Involving Prescription and Health Care Fraud
WASHINGTON - Claire Elizabeth Rice, 68, of Silver Spring, Md., pled guilty today to federal charges of conspiracy to obtain controlled substances by prescription fraud and participating in a health care fraud scheme, announced U.S. Attorney Channing D. Phillips, Paul M. Abbate, Assistant Director in Charge of the FBI's Washington Field Office, and Nicholas DiGiulio, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), for the region that includes Washington, D.C.
February 25, 2016; U.S. Attorney; District of Puerto Rico
Eight Individuals Arrested For Bribery, Conspiracy, Health Care And Mail Fraud
SAN JUAN, P.R. - On February 24, 2016, a Federal grand jury returned a fourteen count indictment against eight individuals for bribery, conspiracy to commit health care fraud, conspiracy to commit an offense against the United States, mail fraud, and aggravated identity theft, announced Rosa Emilia Rodríguez-Vélez, United States Attorney for the District of Puerto Rico. The investigation was led by the U.S. Department of Health and Human Services-Office of Inspector General, with the collaboration of the Federal Bureau of Investigation, United States Secret Service, United States Postal Inspection Service, and the Puerto Rico Department of Health Medicaid Anti-Fraud Unit.
February 25, 2016; U.S. Attorney; District of Maryland
Assisted Living Facility Manager Indicted for Stealing Elderly Residents' Identities to Obtain Credit Cards
Baltimore, Maryland - A federal grand jury indicted Salah Eldean Sood, age 34, of Baltimore, today on charges arising from a scheme to open credit card accounts using the stolen identity information of elderly persons who were in Sood's care at Holland Manor Eldercare, an assisted living facility in Towson, Maryland.
February 24, 2016; U.S. Attorney; Eastern District of New York
Clinic Owner And Four Medical Professionals Sentenced In A $4 Million Medicare Fraud Scheme
Earlier today, Jeffrey Suh, Richelle Munoz, Sophia Lin, Kang Young Chung, and Emily Shim were sentenced in federal court in Brooklyn for conspiring to commit health care fraud in a scheme where they fraudulently billed Medicare for more than $4 million.
February 23, 2016; U.S. Attorney; Western District of Kentucky
Louisville Chiropractor Guilty Of Health Care Fraud
LOUISVILLE, Ky. - A Louisville chiropractor pleaded guilty to numerous charges today, including health care fraud, obstruction of a criminal investigation, and tampering with a witness for his role in billing private insurance companies and government health care agencies for services that were never performed, announced United States Attorney John E. Kuhn, Jr.
February 23, 2016; U.S. Attorney; Eastern District of Pennsylvania
Ambulance Company Employee Sentenced To 37 Months In Prison
PHILADELPHIA - Thael Kuran, 24, of Philadelphia, PA, was sentenced today to 37 months in prison for a health care fraud scheme involving Brotherly Love Ambulance, Inc. In addition to the prison term, U.S. District Court Judge Gerald J. Pappert ordered three years of supervised release, restitution in the amount of $2,015,712.52, and a $200 special assessment.
February 22, 2016; U.S. Attorney; District of Maryland
Paige Industrial Services Agrees to Resolve False Claims Act Allegations
Baltimore, Maryland - Government contractor Paige Industrial Services, Inc. has agreed to pay the United States between $450,000 and $675,000 to resolve allegations under the False Claims Act that the company submitted false claims to the Department of Health and Human Services. In a related parallel criminal proceeding involving a Paige subcontracting company, construction company owner Luis Alonso Valle, age 46, of Silver Spring, Maryland, pleaded guilty on February 11, 2016 to an illegal pattern and practice of hiring unauthorized aliens.
February 19, 2016; U.S. Attorney; District of Idaho
Fruitland Woman Indicted for False Billing at Payette Dental Clinic
BOISE - Cherie R. Dillon, 60, of Fruitland, Idaho, made an initial appearance yesterday on charges of health care fraud and aggravated identity theft, U.S. Attorney Wendy J. Olson announced. Dillon was indicted on February 9, 2016, by a federal grand jury in Boise.
February 19, 2016; U.S. Attorney; Middle District of Florida
Adventist To Pay More Than $2 Million To Resolve False Claims Allegations
Tampa, FL - United States Attorney A. Lee Bentley, III announces that Adventist Health System Sunbelt Healthcare Corporation (Adventist) has agreed to pay the government $2.09 million to resolve allegations that patients were administered portions of single-dose vials of chemotherapy drugs that were left over from administrations to prior patients.
February 17, 2016; U.S. Department of Justice
Fifty-One Hospitals Pay United States More Than $23 Million to Resolve False Claims Act Allegations Related to Implantation of Cardiac Devices
The Department of Justice has reached settlements with 51 hospitals in 15 states for more than $23 million related to cardiac devices that were implanted in Medicare patients in violation of Medicare coverage requirements, the Department of Justice announced today. These settlements represent the final stage of a nationwide investigation into the practices of hundreds of hospitals improperly billing Medicare for these devices. With these additional agreements, the Justice Department's investigation has now yielded settlements with more than 500 hospitals totaling more than $280 million.
February 17, 2016; U.S. Attorney; District of Montana
Billings Hospital One of 51 Hospitals Nationwide to Pay More Than $23 Million to Resolve False Claims Act Allegations Related to Implantation of Cardiac Devices
WASHINGTON - The Department of Justice announced today that it has reached settlements with 51 hospitals in 15 states for more than $23 million related to cardiac devices that were implanted in Medicare patients in violation of Medicare coverage requirements. Saint Vincent Healthcare in Billings is one of the hospitals included in the settlements. St. Vincent is part of the Sisters of Charity of Leavenworth Health System, based in Broomfield, CO, and is one of five Sisters of Charity hospitals that together paid 1.95 million under the settlements.
February 17, 2016; U.S. Attorney; District of Maryland
Maryland Health Care Provider Convicted for Patient Deaths
Baltimore, Maryland - A federal jury today convicted the owner of Alpha Diagnostics, Rafael Chikvashvili, age 67, of Baltimore, Maryland, of health care fraud and wire fraud conspiracy, healthcare fraud, including two counts of health care fraud resulting in death, as well as wire fraud, false statements and aggravated identity theft, related to a scheme to defraud Medicare and Medicaid of more than $7.5 million. Judge Bredar ordered that Mr. Chikvashvili be immediately taken into custody. A detention hearing will be held on Thursday, February 18, 2016 at 2:00 p.m. to determine whether he will remain in custody pending his sentencing.
February 17, 2016; U.S. Attorney; Eastern District of Texas
Physician Pleads Guilty To Illegally Prescribing Pain Medication
TYLER, Texas - U.S. Attorney John M. Bales announced that an East Texas pain management physician has pleaded guilty to illegally dispensing controlled substances.
February 16, 2016; U.S. Attorney; District of Columbia
Chiropractor Sentenced for Obstructing Investigation Of Health Care Fraud Involving D.C. Medicaid Program
WASHINGTON - Rehman Mirza, 43, a chiropractor who practiced in Suitland, Md., was sentenced today to seven months in prison and an additional six months in home confinement after earlier pleading guilty to obstructing a criminal health care fraud investigation, announced U.S. Attorney Channing D. Phillips and Paul M. Abbate, Assistant Director in Charge of the FBI's Washington Field Office.
February 12, 2016; U.S. Attorney; District of New Jersey
New Jersey Doctor, Two Companies Agree To Pay $5.25 Million For Allegedly Submitting Bogus Claims To Federal Health Care Programs
NEWARK, N.J. - Dr. Labib E. Riachi, 47, of Westfield, New Jersey, and two companies that he owns and operates, Riachi, Inc. and Center for Advanced Pelvic Surgery, LLC, both based in Westfield, have agreed to pay $5.25 million to resolve allegations that they falsely billed federal health care programs for tests that were never provided, among other claims, U.S. Attorney Paul J. Fishman announced today.
February 11, 2016; U.S. Attorney; Middle District of Florida
United States Announces Approximately $10 Million Settlement With Four Physicians And Two Compounding Pharmacies
Jacksonville, FL - United States Attorney A. Lee Bentley, III announces that two compounding pharmacies - WELLHealth and Topical Specialists, as well as four physicians - Manish Bansal, Mehul Parekh, Marisol Arcila, and Syed Asad, have agreed to pay the government a total of approximately $10 million to resolve allegations involving TRICARE, the military's healthcare program.
February 11, 2016; U.S. Attorney; District of New Jersey
Doctor Charged With Accepting Thousands Of Dollars In Cash Bribes For Referrals To Lab Companies
NEWARK, N.J. - A doctor with offices in Toms River, New Jersey, was indicted today for accepting thousands of dollars in cash bribes in exchange for referring his patients to two lab companies that performed blood and DNA testing, U.S. Attorney Paul J. Fishman announced.
February 11, 2016; U.S. Attorney; Western District of Missouri
Dentist Pleads Guilty to Medicaid Fraud Scheme
SPRINGFIELD, Mo. - Tammy Dickinson, United States Attorney for the Western District of Missouri, announced that an Independence, Mo., dentist who formerly practiced at clinics in Springfield, Mo., and Mountain Grove, Mo., pleaded guilty in federal court today to his role in a conspiracy to collect more than $167,000 in fraudulent Medicaid payments for child patients of the clinics.
February 11, 2016; U.S. Attorney; Southern District of Illinois
O'Fallon Woman Sentenced for Healthcare Fraud
James L. Porter, Acting United States Attorney for the Southern District of Illinois, announced today, that Ann Marie Sheppard, 55, of O'Fallon, Illinois, was sentenced on February 10, 2016, in the U.S. District Court in East Saint Louis, Illinois, on the charges that she engaged in a scheme to steal from a health care program and that she committed two related mail frauds. The district court sentenced Sheppard to five years of probation with the first six months to be served in home detention. She is also ordered to pay $34,168.33 in restitution to the Home Services Program and a $300.00 special assessment.
February 10, 2016; U.S. Attorney; Eastern District of Kentucky
Lexington Couple Pleads Guilty to Grant Fraud
LEXINGTON - A Lexington couple has admitted in federal court that they submitted false claims related to federal grants from the National Institutes of Health ("NIH") and defrauded the government out of hundreds of thousands of dollars.
February 10, 2016; District of Maryland
Lutherville Man Faces Federal Charges for Bank Fraud and Identity Theft and State Charges for Elder Abuse
Baltimore, Maryland - Salah Sood, age 34, of Lutherville, Maryland, faces federal charges of aggravated identity theft and bank fraud. Sood has also been indicted in Baltimore County with four counts of abuse of vulnerable adults and one count of operating an unlicensed assisted living home. The state and federal charges arise from an investigation of Holland Manor Eldercare where, on December 3, 2015, two elderly residents were found alone when Baltimore County police and the fire department personnel responded to a fire alarm at that location.
February 10, 2016; U.S. Attorney; District of New Jersey
U.S. Attorney’s Office Files Civil Lawsuit Against New Jersey Doctor, Two Companies For Submitting Bogus Claims To Federal Health Care Programs
NEWARK, N.J. - U.S. Attorney Paul J. Fishman announced today that the government has filed a complaint against a Union County, New Jersey, doctor and his medical practice companies for knowingly submitting millions of dollars in false claims to Medicare and Medicaid for thousands of diagnostic tests that were never performed and for physical therapy services performed by unqualified personnel.
February 9, 2016; U.S. Attorney; Southern District of Florida Medicare Fraud Strike Force Case
Miami Physician Pleads Guilty For Role in $20 Million Health Care Fraud Scheme
A Miami physician pleaded guilty today for his role in a Medicare fraud scheme that caused more than $20 million in losses.
February 9, 2016; U.S. Attorney; Southern District of Illinois
Granite City Woman Sentenced For Healthcare Fraud
James L. Porter, Acting United States Attorney for the Southern District of Illinois, announced today, that on February 9, 2016, Jessica A. Teets, 28, of Granite City, Illinois, was sentenced in the U.S. District Court in East Saint Louis on the charge that she engaged in a scheme to defraud a health care program. The district court sentenced Teets to five years of probation. She was also ordered to pay $1,292.62 in restitution to the Home Services Program.
February 9, 2016; U.S. Attorney; Eastern District of Pennsylvania
Nurse Convicted For Role In Multi-Million Dollar Hospice Health Care Fraud
PHILADELPHIA - A federal jury, yesterday, returned guilty verdicts against Patricia McGill, 68, of Philadelphia, a registered nurse who took part in a multi-million dollar fraud on Medicare that involved hospice care. The jury found McGill guilty of four counts of health care fraud. The jury acquitted the defendant of a conspiracy charge and nine counts of health care fraud. U.S. District Court Judge Eduardo C. Robreno scheduled a sentencing hearing for May 24, 2016. McGill faces a potential advisory sentencing guideline range of 33 to 41 months in prison, a possible fine, and a $400 special assessment.
February 1, 2016; U.S. Attorney; Southern District of Illinois
Cottage Hills Woman Sentenced On Healthcare Fraud Charge
James L. Porter, Acting United States Attorney for the Southern District of Illinois, announced today, that on January 29, 2016, Lisa Jorden, 50, of Cottage Hills, Illinois, pled guilty and was sentenced in the U.S. District Court in East Saint Louis, Illinois, on the charge that she engaged in a scheme to steal from a health care program. The district court sentenced Jorden to five years of probation. She is also ordered to pay $16,828.00 in restitution to the Home Services Program and a $100.00 special assessment.

January 2016

January 29, 2016; U.S. Department of Justice Medicare Fraud Strike Force Case
Former Owner and Operator of California Medical Equipment Supply Company Sentenced for Their Roles in $1.5 Million Medicare Fraud Scheme
The former owner and the former operator of a durable medical equipment supply company based in Long Beach, California, were sentenced today for their roles in a $1.5 million Medicare fraud scheme.
January 29, 2016; U.S. Attorney; Southern District of Illinois
Belleville Woman Pleads Guilty To Healthcare Fraud
James L. Porter, Acting United States Attorney for the Southern District of Illinois, announced today, that Kiara Hopkins, 24, of Belleville, Illinois, pled guilty in federal court to charges that she engaged in a scheme to steal from a health care program. Sentencing has been set for May 5, 2016. Hopkins will face up to 10 years in prison, a fine of up to $250,000, and up to 3 years of supervised release.
January 27, 2016; U.S. Attorney; Southern District of Texas
Area Ambulance Company Owner Sentenced in Health Care Fraud Scheme
McALLEN, Texas - The owner of Vic's Texas Transport, Inc. (dba Victory EMS) has been ordered to federal prison following his conviction of health care fraud and aggravated identity theft, announced U.S. Attorney Kenneth Magidson. Victor Lee Gonzalez, 28, of Mission, pleaded guilty Sept, 22, 2015.
January 27, 2016; U.S. Attorney; Southern District of Texas
Ambulance Company Owners Agree to Pay More Than $245,000 to Resolve Kickback Allegations
HOUSTON - The former owner and operator of Houston-area ambulance company National Care EMS has agreed to settle allegations that he and the company provided kickbacks to various nursing facilities and hospitals in exchange for rights to the institutions' more lucrative Medicare and Medicaid transport referrals, announced U.S. Attorney Kenneth Magidson along with Gregory Demske, Chief Counsel to the Inspector General of the U.S. Department of Health and Human Services - Office of Inspector General (HHS-OIG) and Special Agent in Charge CJ Porter, of HHS-OIG, Office of Investigations - Dallas Regional Office.
January 26, 2016; U.S. Attorney; Eastern District of Pennsylvania
Health Care Agreement Announced Regarding Care Enhancements At Rehab Center
PHILADELPHIA - The Archdiocese of Philadelphia, Catholic Health Care Services has agreed to resolve allegations relating to resident care at St. Monica Center for Rehabilitation and Health Care and St. Monica Manor, announced United States Attorney Zane David Memeger. The Archdiocese of Philadelphia has agreed to improve, or has already improved, care in the following areas: physician orders; wound care and pressure ulcers; medication administration; documentation of care; and transfer and toileting of residents. Pursuant to the agreement, the Archdiocese has also agreed to pay $80,000 in addition to implementing the care enhancements. Although St. Monica Manor has been sold to Center Management Group ("CMG"), CMG has agreed to assume all duties in connection with the settlement agreement.
January 25, 2016; U.S. Attorney; Northern District of Illinois Medicare Fraud Strike Force Case
Federal Jury Convicts Tinley Park Physician in Medicare Fraud Scheme
CHICAGO - A physician at Chicago-based Mobile Doctors was convicted on federal fraud charges today for falsely certifying patients as confined to their homes as part of a scheme to defraud Medicare.
January 22, 2016; U.S. Department of Justice Medicare Fraud Strike Force Case
Owner and Manager of Three Miami-Area Home Health Agencies Convicted in $57 Million Health Care Fraud Scheme
The owner and manager of three Miami-area home health agencies was convicted late yesterday for his role in a health care fraud scheme that resulted in the submission of false and fraudulent claims to Medicare.
January 22, 2016; U.S. Attorney; District of New Hampshire
Seabrook Woman Sentenced To Home Confinement For Social Security, Food Stamp, And Medicaid Fraud
CONCORD, N.H. - Beverly Eaton, 57, of Seabrook, who pleaded guilty to one count of Social Security Fraud and four counts of Making False Statements on September 28, 2015, was sentenced today to three years of probation, including six months of home confinement, and was ordered to pay $51,189.70 in restitution to the Social Security Administration and $11,235.36 to the New Hampshire Department of Health and Human Services, announced United States Attorney Emily Gray Rice.
January 20, 2015; U.S. Attorney; District of Nevada
Family Members Convicted In Benefits Fraud Case
LAS VEGAS, Nev. - A brother and sister have been convicted by a federal jury of multiple felony counts for using false identities to steal almost $300,000 in unemployment funds and other federal benefits, announced U.S. Attorney Daniel G. Bogden for the District of Nevada. Two other family members were also convicted of fraud for their part in the scheme to unlawfully obtain unemployment compensation funds.
January 20, 2016; U.S. Attorney; District of Vermont
Paul Hebert Pleads Guilty to Social Security and Medicaid Fraud
Paul Hebert, 50, of Gloucester, Massachusetts, formerly of Barre, Vermont, pleaded guilty today to charges of Social Security fraud and Medicaid fraud.
January 19, 2016; U.S. Attorney; District of New Jersey
Ocean County, New Jersey, Man Admits Bribing Doctor As Part Of Compounding Pharmacy Fraud Scheme
CAMDEN, N.J. - A Manchester, New Jersey, man today admitted paying tens of thousands of dollars in bribes to a sports medicine doctor on behalf of Prescriptions R Us, a compound pharmacy in Lakewood, New Jersey, U.S. Attorney Paul J. Fishman announced.
January 19, 2016; U.S. Attorney; Northern District of Texas
Registered Nurse Co-Owner of Ultimate Care Home Health Services, Inc. Sentenced to 10 Years in Federal Prison for Role in Healthcare Fraud Conspiracy
DALLAS - A 52-year-old registered nurse and home health company owner from Cedar Hill, Texas, was sentenced this morning in federal court in Dallas on a health care fraud conspiracy conviction, announced U.S. Attorney John Parker of the Northern District of Texas.
January 15, 2016; U.S. Department of Justice
California Hospital to Pay More Than $3.2 Million to Settle Allegations That It Violated the Physician Self-Referral Law
Tri-City Medical Center, a hospital located in Oceanside, California, has agreed to pay $3,278,464 to resolve allegations that it violated the Stark Law and the False Claims Act by maintaining financial arrangements with community-based physicians and physician groups that violated the Medicare program's prohibition on financial relationships between hospitals and referring physicians, the Justice Department announced today.
January 15, 2016; U.S. Attorney; Middle District of Pennsylvania
Tioga County Physician And One Other Plead Guilty To Health Care Fraud Charges
WILLIAMSPORT - The United States Attorney's Office for the Middle District of Pennsylvania announced today that Dr. John Terry, age 65, of Wellsboro and Stephen Heffner, Jr., age 46, of Elkland, pleaded guilty today before Chief United States District Court Judge Christopher C. Conner in Williamsport.
January 14, 2016; U.S. Department of Justice  Medicare Fraud Strike Force Case
Health Care Clinic Consultant and Medicare Biller Pleads Guilty in Miami for Role in $63 Million Health Care Fraud Scheme
A former health care clinic consultant and Medicare biller pleaded guilty today in connection with a $63 million health care fraud and money laundering scheme involving a defunct Miami-area health care provider.
January 12, 2016; U.S. Department of Justice
Nation's Largest Nursing Home Therapy Provider, Kindred/Rehabcare, to Pay $125 Million to Resolve False Claims Act Allegations
Contract therapy providers RehabCare Group Inc., RehabCare Group East Inc. and their parent, Kindred Healthcare Inc., have agreed to pay $125 million to resolve a government lawsuit alleging that they violated the False Claims Act by knowingly causing skilled nursing facilities (SNFs) to submit false claims to Medicare for rehabilitation therapy services that were not reasonable, necessary and skilled, or that never occurred, the Department of Justice announced today.
January 12, 2016; U.S. Attorney; District of Connecticut
Connecticut Medical Equipment Company Pays $600,000 to Settle False Claims Act Allegations
United States Attorney Deirdre M. Daly and Connecticut Attorney General George Jepsen today announced that J&L; MEDICAL SERVICES, LLC ("J&L; MEDICAL") has entered into a civil settlement agreement with the federal and state governments in which it will pay $600,000 to resolve allegations that it violated the federal and state False Claims Acts.
January 12, 2016; U.S. Attorney; Western District of Michigan
Physician Assistant, Kyle D. Gandy, Sentenced To Fourteen Months In Prison For Accepting Illegal Kickbacks
GRAND RAPIDS, MICHIGAN - U.S. Attorney Patrick Miles announced today that Kyle D. Gandy, age 37, a physician assistant who formerly resided in Mt. Pleasant, Michigan, was sentenced to 14 months in prison and two years of supervised release for accepting $1,000.00 in illegal kickbacks for referring patients to medical clinics, physical therapy clinics, and a home health care agency. Gandy is the tenth person, and the fourth physician assistant, convicted of felony charges in connection with a joint federal-state investigation into a kickback scheme initiated by Babubhai Rathod. As part of this felony conviction, Gandy was ordered to pay $18,030.17 in restitution, representing the amount of the referred services paid by Medicare and Medicaid. Gandy will be excluded from participating with the Medicare and Medicaid programs for at least five years.
January 12, 2016; U.S. Attorney; Western District of Tennessee
Local Dermatologist, Cordova-based Medical Practice to Pay $450,000 for Overbilling Medicare
Memphis, TN - A doctor and his Cordova-based medical practice will pay $450,000 to the government to resolve allegations that it billed Medicare for unnecessary dermatological surgical procedures and office visits. Edward L. Stanton III, U.S. Attorney for the Western District of Tennessee, announced the settlement today.
January 12, 2016; U.S. Attorney; Southern District of Ohio
Ambulance Company Owner Pleads Guilty to Health Care Fraud
CINCINNATI - Terry Johnson, 42, of Hamilton Ohio, pleaded guilty in U.S. District Court to one count of health care fraud and one count of money laundering.
January 11, 2016; U.S. Attorney; Southern District of New York
Doctor And Owner Of Bronx Clinics Involved In Illegal Distribution Of More Than Five Million Oxycodone Pills Is Sentenced To 12 Years In Prison
Preet Bharara, the United States Attorney for the Southern District of New York, announced the conviction of KEVIN LOWE, the owner of "Astramed," a purported medical clinic with multiple locations in the Bronx, New York, and from which more than five million tablets of the prescription painkiller oxycodone were unlawfully distributed over a three-year period. On May 4, 2015, LOWE was convicted of a conspiracy to distribute narcotics following a two-week jury trial presided over by U.S. District Judge Lorna G. Schofield. Today, Judge Schofield sentenced LOWE to a term of 144 months in prison.
January 8, 2016; U.S. Department of Justice
Former Owner of Bostwick Laboratories Agrees to Pay Up to $3.75 Million to Resolve Allegations of Unnecessary Testing and Illegal Remuneration to Physicians
Dr. David G. Bostwick has agreed to pay the United States up to $3.75 million to resolve alleged violations of the False Claims Act for billing Medicare and Medicaid for medically unnecessary cancer detection tests and offering incentives to physicians to obtain Medicare and Medicaid business, the Department of Justice announced today. Dr. Bostwick was the founder, owner and chief executive officer of Bostwick Laboratories Inc. from 1999 to 2011. Bostwick Laboratories is a pathology laboratory headquartered in Glen Allen, Virginia.
January 8, 2016; U.S. Department of Justice Medicare Fraud Strike Force Case
President of Miami-Based Transportation Company Convicted in $70 Million Health Care Fraud Scheme
The president of a Miami-based transportation company was convicted today for his role in a health care fraud scheme involving three mental health centers based in Miami that resulted in the submission of approximately $70 million in false and fraudulent claims to Medicare.
January 8, 2016; U.S. Attorney; Southern District of Florida Medicare Fraud Strike Force Case
Four Miami-Dade Residents Indicted for Participation in Fraud Schemes
Four Miami-Dade residents have been indicted for their participation in various schemes to defraud the United States government.
January 7, 2016; U.S. Attorney; Northern District of Illinois Medicare Fraud Strike Force Case
West Suburban Doctor Sentenced to Two Years in Federal Prison for Falsely Approving Unnecessary Treatment
CHICAGO - A west suburban physician was sentenced today to two years in prison for fraudulently certifying patients as confined to the home, allowing healthcare agencies to bill Medicare for millions of dollars in unnecessary in-home treatment.
January 7, 2016; U.S. Attorney; Southern District of West Virginia
Beckley physician pleads guilty to Federal drug crime and health care fraud
BECKLEY, W.Va. - Acting United States Attorney Carol Casto announced today that Jose Jorge Abbud Gordinho, M.D., of Beckley, pleaded guilty in federal court to illegally prescribing the pain medication hydrocodone. Dr. Gordinho also pleaded guilty to defrauding Medicare and Medicaid by submitting materially false claims for medical services that were not medically necessary.
January 6, 2016; U.S. Attorney; Central District of California
Doctor Who Pre-Signed Thousands of Prescriptions in $20 Million Health Care Fraud Scheme Sentenced to Nine Years in Prison
LOS ANGELES - The medical doctor at the center of a conspiracy linked to a sham medical clinic in Glendale was sentenced today to nine years in federal prison for his role in a $20 million scheme to defraud the Medicare and Medi-Cal programs.
January 6, 2016; U.S. Attorney; Middle District of Pennsylvania
United States Reaches Agreement With Former York County Chiropractor In Civil False Claims Act Suit
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that it has entered into a Consent Decree with former chiropractor Kurt Bauer, age 62, of York, PA, to resolve a suit the United States filed alleging that Bauer remained involved in the management of a Medicare provider’s business despite his exclusion by the U.S. Department of Health and Human Services, in violation of the False Claims Act.
January 5, 2016; U.S. Attorney; District of Maryland
Two Defendants Sentenced to Prison in Conspiracy to Distribute Over $6.6 Million In Contraband Cigarettes
Baltimore, Maryland - U.S. District Judge William D. Quarles, Jr. sentenced Nikolay Zakharyan, age 24, of Owings Mills, Maryland, and Zarakh Yelizarov, age 53, of Pikesville, Maryland, today to a year and a day in prison, and 18 months in prison, respectively, each followed by three years of supervised release, for conspiracy to receive, possess, sell and distribute over $6.6 million in contraband cigarettes, that is, cigarettes on which the applicable state taxes have not been paid. Judge Quarles entered an order requiring Yelizarov to pay restitution of $2.5 million to New York City and the state of New York and to forfeit $56,000, proceeds of the offense. Judge Quarles also entered an order requiring Nikolay Zakharyan to pay restitution of $9,659,880.
January 5, 2016; U.S. Attorney; District of Idaho
Leader of Boise Oxycodone and Heroin Organization Sentenced to Ten Years in Federal Prison
BOISE - Austin Serb, 22, of Boise, Idaho, was sentenced today to 120 months in federal prison for distributing tens of thousands of oxycodone pills and heroin in a large scale drug trafficking conspiracy. Senior U.S. District Judge Edward J. Lodge also ordered Serb to serve three years of supervised release, 200 hours of community service, and to forfeit $1,000,000 in drug proceeds. At his sentencing hearing, Judge Lodge determined that Serb was a manager and supervisor of an extensive criminal organization. Serb pleaded guilty on February 13, 2015, and admitted that he conspired to distribute oxycodone and heroin from September 1, 2012, to March 10, 2014.
January 5, 2016; U.S. Attorney; Middle District of Tennessee
Nashville Pharmacy Services Settles False Claims Act Lawsuit
Nashville Pharmacy Services, LLC, and its majority owner Kevin Hartman have agreed to pay up to $7.8 million to settle allegations that they overbilled Medicare and TennCare for pharmacy services, announced David Rivera, U.S. Attorney for the Middle District of Tennessee. Nashville Pharmacy Services' primary location is at 100 Oaks in Nashville, Tenn. and it specializes in dispensing HIV and AIDS-related medications.
January 5, 2016; U.S. Attorney; Middle District of Pennsylvania
Health Care Fraud Charges And Plea Agreements Filed Against Tioga County Physician And Two Others
SCRANTON - The United States Attorney's Office for the Middle District of Pennsylvania announced today that a criminal information has been filed in U.S. District Court in Scranton against Dr. John Terry, age 65, of Wellsboro, in connection with fraudulent prescriptions he wrote for Oxycodone, a Schedule II controlled substance.
January 4, 2016; U.S. Department of Justice Medicare Fraud Strike Force Case
Owner of Three Los Angeles Clinics Sentenced to 78 Months in Prison for Medicare Fraud
The former owner and operator of three medical clinics located in Los Angeles was sentenced today to 78 months in prison for his role in a scheme that submitted more than $4.5 million in fraudulent claims to Medicare.

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