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Criminal and Civil Enforcement

August 2020

August 13, 2020; U.S. Attorney; District of Massachusetts: Specialty Pharmacy Advanced Care Scripts Agrees to Pay $3.5 Million to Resolve Allegations that it Served as a Kickback Conduit
BOSTON — The U.S. Attorney's Office has reached a $3.5 million settlement with specialty pharmacy Advanced Care Scripts, Inc. (ACS), to resolve allegations that ACS conspired with pharmaceutical manufacturer Teva Neuroscience, Inc. (Teva), to enable Teva to pay kickbacks to Medicare patients taking Copaxone, a Teva drug approved for treatment of multiple sclerosis.
August 12, 2020; U.S. Attorney; Middle District of Pennsylvania: Mobile X-Ray Company To Pay $49,759 To Settle False Claims Liability
HARRISBURG - The United States Attorney's Office for the Middle District of Pennsylvania announced that Physician's Mobile X-Ray has agreed to pay the United States $49,759 to resolve potential liability under the False Claims Act. Physician's Mobile X-Ray is based in Harrisburg, Pennsylvania and provides mobile imaging services, including x-rays, ultrasounds and cardiac services.
August 12, 2020; U.S. Attorney; District of South Dakota: Arizona Man Charged with Failure to Pay Child Support
United States Attorney Ron Parsons announced that an Anthem, Arizona, man has been indicted by a federal grand jury for Failure to Pay Child Support. Jacob A. Tate, age 44, was indicted on June 6, 2018. He appeared before U.S. Magistrate Judge Veronica L. Duffy on August 7, 2020, and pled not guilty to the Indictment.
August 10, 2020; U.S. Attorney; Eastern District of Kentucky: Eastern Kentucky Doctor and Assistant Plead Guilty To Unlawfully Distributing Opioids
LEXINGTON, Ky. - A Kentucky doctor and his office assistant pleaded guilty for their roles in unlawfully distributing opioids and other controlled substances during a time when the defendants did not have a legitimate medical practice.
August 7, 2020; U.S. Attorney; District of Massachusetts: Lexington Doctor and Office Manager Indicted in International Money Laundering Scheme Involving Non-Approved Drugs
BOSTON - A Lexington doctor and his wife, who works as his office manager, were charged in an international money laundering scheme involving importing illegal drugs.
August 7, 2020; U.S. Attorney; District of Connecticut: Connecticut Dentist Pays Over $148K to Settle Improper Billing Allegations
U.S. Attorney John H. Durham and Connecticut Attorney General William Tong today announced that EAN JAMES, D.M.D., has entered into a civil settlement with the federal and state governments in which he will pay more than $148,000 to resolve allegations that he caused overpayments to be paid by the Connecticut Medicaid Program.
August 5, 2020; U.S. Attorney; Central District of California: Doctor Among 10 Facing Federal Drug Trafficking Charges Related to Distribution of Opioids Through Bogus Pain Clinics Across SoCal
SANTA ANA, California- Law enforcement authorities this morning arrested four defendants charged in two federal grand jury indictments alleging a narcotics trafficking ring that sold illegal opioid prescriptions for cash through a series of sham medical clinics.
August 4, 2020; U.S. Attorney; Southern District of California: VP of Genetics Company Pleads Guilty to Paying Physicians Sham Clinical Research Fees as Part of $21 Million Medicare Fraud Scheme
SAN DIEGO - Donald Joseph Matthews, the former Vice President of Market Development for Proove Biosciences. Inc., pleaded guilty in federal court today to conspiring to pay physicians kickbacks to order genetic tests for Medicare beneficiaries in violation of the Anti-Kickback Statute.

July 2020

July 31, 2020; U.S. Department of Justice: Florida Doctor Charged in Massive $681 Million Substance Abuse Treatment Fraud Scheme
A Palm Beach County, Florida doctor was arrested and charged with conspiring to commit health care fraud and wire fraud for his alleged participation in a massive years-long health care fraud scheme throughout Palm Beach County, billing for fraudulent tests and treatments for vulnerable patients seeking treatment for drug and/or alcohol addiction.
July 31, 2020; U.S. Attorney; Northern District of Alabama: Mobile-Area Doctor Charged in Prescription Drug Billing Scheme
BIRMINGHAM, Ala. - A Mobile-area Alabama doctor was indicted on Tuesday in a long-running investigation into a prescription drug-billing scheme involving a Haleyville, Ala.-based pharmacy, Northside Pharmacy doing business as Global Compounding Pharmacy.
July 30, 2020; U.S. Attorney's Office, Eastern District of Michigan: Macomb County Couple Charged with Tax Evasion and Health Care Fraud Offenses and Physician Charged in Health Care Fraud Conspiracy
A superseding indictment was unsealed today charging Isabel Tcruz and Noli Tcruz with tax evasion and multiple health care fraud offenses, and charging Dr. Terry S. Baul with participating in a health care fraud conspiracy, U.S. Attorney Matthew Schneider announced today. Previously, only Isabel Tcruz had been indicted with health care fraud offenses in this case.
July 29, 2020, Department of Justice: Florida Man Charged with COVID Relief Fraud, Health Care Fraud and Money Laundering
A Florida man has been charged regarding allegations that he fraudulently obtained a Paycheck Protection Program (PPP) loan and an Economic Injury Disaster Loan (EIDL), and that he orchestrated a conspiracy to submit false and fraudulent claims for reimbursement to Medicare and CareCredit, and to defraud his own patients by charging them thousands of dollars for chiropractic services under false pretenses.
July 29, 2020; U.S. Attorney's Office, Southern District of New York: Manhattan U.S. Attorney Announces $2.775 Million Settlement Of Medicaid Billing Fraud Case Against New York City And Computer Sciences Corporation
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, and Scott Lampert, the Special Agent in Charge for the New York Office of Inspector General of the U.S. Department of Health and Human Services ("HHS-OIG"), announced today the entry of two settlements in a Medicaid billing fraud lawsuit against New York City (the "City") and Computer Sciences Corporation ("CSC").
July 28, 2020; U.S. Attorney's Office, District of New Jersey: Pharmaceutical Company Agrees to Pay $3.5 Million to Resolve Allegations of Violating False Claims Act
NEWARK, N.J. - Pacira Pharmaceuticals Inc. will pay $3.5 million to resolve allegations that it paid kickbacks to doctors in the form of bogus research grants to induce them to prescribe its analgesic EXPAREL, Attorney for the United States Rachael A. Honig announced today. The allegations arose from a whistleblower suit filed under the False Claims Act.
July 27, 2020; U.S. Attorney's Office, District of Massachusetts: Colombian National Agrees to Plead Guilty to $109 Million Medicare Fraud Scheme
BOSTON - A Colombian national residing in Lighthouse Beach, Fla., has agreed to plead guilty in connection with submitting more than $109 million in false and fraudulent claims for durable medical equipment (DME) such as arm, back, knee and shoulder braces.
July 27, 2020; U.S. Attorney's Office, Eastern District of New York: Former Long Island Doctor Pleads Guilty to Conspiring to Illegally Distribute Oxycodone
Earlier today, in federal court in Central Islip, Tameshwar Ammar, a former medical doctor in Roslyn, New York, pleaded guilty via teleconference to conspiring to illegally distribute oxycodone.
July 24, 2020; Department of Justice: Indivior Solutions Pleads Guilty To Felony Charge And Indivior Entities Agree To Pay $600 Million To Resolve Criminal And Civil Investigations As Part Of DOJ's Largest Opioid Resolution; Resolutions Follow CEO Guilty Plea and $1.4 Billion Settlement with Former Corporate Parent
Indivior Solutions today pleaded guilty to a one-count felony information and, together with its parent companies Indivior Inc. and Indivior plc, agreed to pay a total of $600 million to resolve criminal and civil liability associated with the marketing of the opioid-addiction-treatment drug Suboxone. Together with a $1.4 billion resolution with Indivior's former parent, Reckitt Benckiser Group PLC (RB Group), announced in 2019, and a plea agreement with Indivior plc's former CEO, Shaun Thaxter, announced last month, the total resolution relating to the marketing of Suboxone is more than $2 billion - the largest-ever resolution in a case brought by the Department of Justice involving an opioid drug.
July 23, 2020; U.S. Attorney's Office, Southern District of New York: Acting Manhattan U.S. Attorney Announces $49 Million Settlement With Biotech Testing Company For Fraudulent Billing And Kickback Practices; Progenity Inc. Admits to Fraudulently Using Wrong Billing Code, Paying "Draw Fees" to Physicians, and Providing Meals and Happy Hours to Physicians and Their Staff
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, Scott J. Lampert, Special Agent in Charge of the New York Regional Office of the U.S. Department of Health, Office of Inspector General ("HHS OIG"), Leigh-Alistair Barzey, Special Agent in Charge of the Northeast Field Office of the U.S. Department of Defense - Office of Inspector General's Defense Criminal Investigative Service ("DCIS"), and Christopher Algieri, Special Agent in Charge of the Department of Veterans Affairs ("VA"), Office of Inspector General, Northeast Field Office ("VA OIG"), announced today a $49 million settlement with PROGENITY, INC. ("PROGENITY"), a San Diego-based biotechnology company that provides molecular and diagnostic tests.
July 23, 2020; U.S. Attorney's Office, District of Connecticut: Connecticut Substance Abuse Treatment Provider Pays Over 354K to Settle Improper Billing Allegations
John H. Durham, United States Attorney for the District of Connecticut, today announced that RECOVERY NETWORK OF PROGRAMS, INC. ("RNP"), a healthcare organization that provides substance abuse and mental health services in Fairfield County, has entered into a civil settlement agreement with the federal and state governments in which it will pay $354,367 to resolve allegations that it caused overpayments for urine drug testing services to be paid by the Connecticut Medicaid Program.
July 22, 2020; U.S. Attorney's Office, Southern District of Florida: Federal Agent and Alleged Accomplice Charged in Miami Federal Court with Conspiring to Distribute Drugs, Obstruct Justice, and Lie to the FBI
Miami, Fl. - South Florida federal prosecutors have charged Hialeah residents Alberico Ahias Crespo, 45, and Jorge Diaz Gutierrez, 65, with conspiring to distribute Oxycodone, obstruct justice, and make false statements to the FBI. Crespo is a Special Agent with the Department of Health and Human Services, Office of Inspector General (HHS-OIG), who, during the time of the alleged crimes, worked as part of the South Florida Health Care Fraud Strike Force.
July 22, 2020; U.S. Attorney's Office, District of Maryland: Washington, D.C. Dentist and Two Others Facing Federal Indictment in Maryland on Charges Related to a Scheme to Defraud Medicaid; Conspirators Allegedly Paid Kickbacks to Recruit Patients to Dental Clinic in Order to Obtain Millions of Dollars in Medicaid Payments for Services Purportedly Provided to those Patients
Greenbelt, Maryland - A federal grand jury in Maryland has indicted licensed dentist Edward T. Buford III, age 68, of Silver Spring, Maryland; his business partner Kasandra Vilchez-Duarte, age 44, of Fort Washington, Maryland; and Donnie Amis, age 63, of Washington, D.C. on the federal charges of conspiracy to violate the federal Anti-Kickback Statute and conspiracy to commit health care fraud and mail fraud.
July 21; U.S. Attorney's Office, District of Massachusetts: Transportation Broker For MassHealth Agrees to Pay $300,000 to Resolve False Claims Allegations: Montachusett Regional Transportation Authority allegedly submitted reimbursement claims for transportation that was never provided
BOSTON - The Montachusett Regional Transportation Authority (MART), a transportation broker for MassHealth, has agreed to pay $300,000 to resolve allegations that it violated the False Claims Act by submitting reimbursement claims for rides that never happened.
July 20, 2020; U.S. Attorney's Office, Western District of Washington: DOJ settles False Claims Act allegations against drug testing lab with operations in Tacoma and Denver: Cordant Health Solution pays nearly $12 million to settle allegations it paid kickbacks for urine testing referrals
Seattle - The U.S. Department of Justice and Sterling Healthcare Opco, LLC d/b/a/Cordant Health Solutions (Cordant), today settled a civil suit alleging Cordant illegally paid kickbacks to generate urine testing business from government insured consumers.
July 14, 2020; U.S. Attorney's Office, Eastern District of California: Tulare County Man Indicted for Falsely Marketing Herbal Mixtures as FDA-Approved Treatment for COVID-19
FRESNO, Calif. - A Porterville man was arrested today after a federal grand jury returned a five count indictment on July 9, charging him with mail fraud and introducing a misbranded drug into interstate commerce with the intent to defraud, U.S. Attorney McGregor W. Scott announced.
July 14, 2020; U.S. Attorney's Office, Southern District of Georgia: Durable medical equipment company owner admits participation in kickback scheme: Defendant is one of 26 charged in telemedicine fraud in Southern District
SAVANNAH, GA: A Florida man who operated a durable medical equipment company has admitted participating in a Medicare kickback and telemedicine fraud scheme.
July 13, 2020; U.S. Attorney's Office, Central District of California: 27 Skilled Nursing Facilities Controlled by Longwood Management Corp. to Pay $16.7 Million to Resolve Allegations of Inflated Medicare Bills
LOS ANGELES - Longwood Management Corporation and 27 affiliated skilled nursing facilities (Longwood) have agreed to resolve allegations that they violated the False Claims Act by submitting false claims to Medicare for rehabilitation therapy services that were not reasonable or necessary, the Department of Justice announced today. Longwood is headquartered in Los Angeles, and the 27 skilled nursing facilities are located in Southern California.
July 11, 2020; U.S. Attorney's Office, Eastern District of Tennessee: Associated Pain Specialists, P.C. Of Knoxville Enters Into Settlement Resolving False Claims Act Allegations
KNOXVILLE, Tenn. - On June 26, Associated Pain Specialists, P.C., of Knoxville, a pain management based clinic, agreed to pay $400,000 to resolve allegations of violating the False Claims Act.
July 10, 2020; U.S. Attorney's Office, Middle District of Florida: Universal Health Services, Inc. And Related Entities To Pay $122 Million To Settle False Claims Act Allegations Relating To Medically Unnecessary Inpatient Behavioral Health Services And Illegal Kickbacks
WASHINGTON - Universal Health Services, Inc., UHS of Delaware, Inc. (together, UHS), and Turning Point Care Center, LLC (Turning Point), a UHS facility located in Moultrie, Georgia, have agreed to pay a combined total of $122 million to resolve alleged violations of the False Claims Act for billing for medically unnecessary inpatient behavioral health services, failing to provide adequate and appropriate services, and paying illegal inducements to federal healthcare beneficiaries, the Department of Justice announced today.
July 10, 2020; U.S. Attorney's Office, Eastern District of Pennsylvania: Physician Assistant to Pay $25,000 to Resolve Allegations of Receiving Kickbacks from Pharmaceutical Company
PHILADELPHIA - First Assistant United States Attorney Jennifer Arbittier Williams announced that physician assistant Sarah Malstrom will pay $25,000 to resolve allegations that she received kickbacks from the company formerly named Aqua Pharmaceuticals, in order to incentivize Malstrom to prescribe Aqua's dermatology drugs.
July 10, 2020; U.S. Department of Justice: Florida Man Charged with COVID Relief Fraud and Health Care Fraud
A Florida man was arrested today on allegations that he fraudulently sought several Paycheck Protection Program (PPP) loans, and that he participated in a scheme to defraud Medicare of at least $5.6 million. It is further alleged that a portion of the PPP loan proceeds were potentially used in furtherance of the Medicare fraud scheme.
July 10, 2020; U.S. Attorney's Office, Middle District of Tennessee: Former CEO Of Tennessee Pain Management Company Sentenced For Role In Multi-Million Dollar Medicare Kickback Scheme
NASHVILLE, Tenn. - July 10, 2020 - A Tennessee healthcare executive was sentenced to 42 months in prison yesterday for his role in an approximately $4 million kickback scheme.
July 9, 2020; U.S. Department of Justice: Former CEO Of Tennessee Pain Management Company Sentenced For Role In Approximately $4 Million Medicare Kickback Scheme
WASHINGTON - A Tennessee healthcare executive was sentenced to 42 months in prison followed by one year of supervised release today for his role in an approximately $4 million kickback scheme.
July 9, 2020; U.S. Attorney's Office, District of New Jersey: Four Men Indicted for Their Roles in $35 Million Pharmacy Compounded Medication Scheme
NEWARK, N.J. - A federal grand jury today indicted four men for their roles in a massive compounded medication fraud and kickback scheme they ran out of a pharmacy in Clifton, New Jersey, U.S. Attorney Craig Carpenito announced.
July 9, 2020; U.S. Attorney's Office, Southern District of Georgia: Telemedicine company owner pleads guilty to telemedicine fraud conspiracy: Defendant is one of 26 charged in largest fraud operation ever prosecuted by Southern District of Georgia
SAVANNAH, GA: A Georgia woman who operated a telemedicine network through two companies has admitted to participation in an ever-growing healthcare and telemedicine fraud scheme.
July 9, 2020; U.S. Attorney's Office, District of New Jersey: Two Pennsylvania-Based Doctors and Five Others Charged in Genetic Testing Kickback and Bribery Schemes
NEWARK, N.J. - Seven people have been charged for their roles in conspiracies to pay and receive kickbacks in exchange for ordering genetic tests, U.S. Attorney Craig Carpenito announced today.
July 8, 2020; U.S. Attorney's Office, Middle District of Florida: Hope Hospice Agrees To Pay $3.2 Million To Settle False Claims Act Liability
Fort Myers, FL - United States Attorney Maria Chapa Lopez announces today that Hope Hospice has agreed to pay the United States $3.2 million to resolve allegations that it knowingly submitted false claims to Medicare, Medicaid, and TRICARE for hospice care provided to beneficiaries who did not qualify for the service.
July 8, 2020; U.S. Attorney's Office, Western District of Oklahoma: Oklahoma City Hospital, Management Company, and Physician Group to Pay $72.3 Million to Settle Federal and State False Claims Act Allegations Arising from Improper Payments to Referring Physicians
OKLAHOMA CITY - Oklahoma Center for Orthopaedic and Multi-Specialty Surgery (OCOM), a specialty hospital in Oklahoma City, Oklahoma, its part-owner and management company, USP OKC, Inc. and USP OKC Manager, Inc. (collectively USP), Southwest Orthopaedic Specialists, PLLC (SOS), an Oklahoma City-based physician group, and two SOS physicians, will pay $72.3 million to resolve allegations under the False Claims Act and the Oklahoma Medicaid False Claims Act of improper relationships between OCOM and SOS, resulting in the submission of false claims to the Medicare, Medicaid and TRICARE programs, the Justice Department announced today.
July 6, 2020; U.S. Attorney's Office, District of Puerto Rico: Government Reaches One Million Dollar Settlement In Healthcare Fraud Matter
SAN JUAN, Puerto Rico - On Wednesday, July 1, 2020, the U.S. District Court entered a civil Consent Judgment against defendants William J. Cruz and Medscan, P.S.C. whereby the defendants agreed to pay one million dollars to the United States resulting from an investigation conducted by the Department of Health and Human Services, Office of Inspector General and the FBI, announced U.S. Attorney for the District of Puerto Rico, W. Stephen Muldrow.
July 1, 2020; Department of Justice: Novartis Pays Over $642 Million to Settle Allegations of Improper Payments to Patients and Physicians
Pharmaceutical company Novartis Pharmaceuticals Corporation (Novartis), based in East Hanover, New Jersey, has agreed to pay over $642 million in separate settlements resolving claims that it violated the False Claims Act (FCA).
July 1, 2020; U.S. Attorney's Office, Southern District of Texas: Houston-area cardiologist settles allegations
HOUSTON - Advanced Cardiovascular Care Center P.A. and its owner and administrator have agreed to pay $400,000 to resolve allegations they violated the False Claims Act (FCA), announced U.S. Attorney Ryan K. Patrick.
July 1, 2020; U.S. Attorney's Office, Western District of Kentucky: California Genetic Testing Company Agrees To Pay $8.25 Million To Resolve False Claims Allegations; Paducah, Ky, Area Hospital Also Settles
LOUISVILLE, Ky. - United States Attorney Russell Coleman today announced an $8.25 million settlement with Agendia, Inc., a molecular diagnostics testing company based in Irvine, California, for an alleged nationwide scheme to bill Medicare for Agendia's flagship genetic test, MammaPrint.

June 2020

June 30, 2020; Department of Justice: Guam Ambulance Company Owners Sentenced to Prison for Their Roles in Medicare Ambulance Fraud Scheme
Two owners of Guam Medical Transport (GMT) were sentenced to prison terms today for their roles in a health care fraud and money laundering scheme that resulted in a loss to the United States of approximately $10.8 million, one of the largest single Medicare ambulance fraud cases ever prosecuted by the Justice Department.
June 30, 2020; U.S. Attorney's Office, Southern District of West Virginia: Beckley Woman Who Faked Death to Avoid Sentencing Will Serve 42 Months in Federal Prison for Health Care Fraud
CHARLESTON, W.Va. - Julie M. Wheeler, 43, of Beckley, was sentenced by Senior United States District Judge John T. Copenhaver, Jr. to 42 months in federal prison for federal health care fraud, announced United States Attorney Mike Stuart.
June 30, 2020; U.S. Attorney's Office, Western District of Washington: Seattle Doctor Charged with Covid Relief Fraud
WASHINGTON - A Seattle doctor was taken into custody today on allegations that he fraudulently sought over $3 million in Paycheck Protection Program (PPP) loans.
June 30, 2020; U.S. Attorney's Office, Middle District of Florida: Eleventh Circuit Court Of Appeals Upholds Convictions Of Doctor On Twenty Counts Of Healthcare Fraud
Tampa, Florida - United States Attorney Maria Chapa Lopez announces that the United States Court of Appeals for the Eleventh Circuit has upheld the convictions of Dr. David M. Pon on 20 counts of healthcare fraud. The Eleventh Circuit also rejected Pon's challenges to his 121-month sentence.
June 30, 2020; U.S. Attorney's Office, Western District of Virginia: Opioid Manufacturer Indivior's Chief Executive Officer Pleads Guilty in Connection with Drug Safety Claims
ABINGDON, VIRGINIA - The chief executive officer of Indivior PLC, Shaun Thaxter, pleaded guilty today in federal court in Abingdon, Virginia to a one-count information charging him with causing the introduction into interstate commerce of the opioid drug Suboxone Film, which was misbranded in violation of the Federal Food, Drug, and Cosmetic Act.
June 30, 2020; U.S. Attorney's Office, Southern District of Texas: Katy anesthesiologist pays to settle allegations arising from electro-acupuncture device billing
HOUSTON - A 54-year-old anesthesiologist from Katy has paid $100,000 to resolve allegations that he falsely billed Medicare for the use of acupuncture devices, announced U.S. Attorney Ryan K. Patrick.
June 30, 2020; U.S. Attorney's Office, Middle District of Florida: Sarasota-Based Ophthalmic Consultants Agrees To Pay $4.8 Million To Resolve Claims Of Multi-Dosing Patients
Tampa, FL - United States Attorney Maria Chapa Lopez announces that Ophthalmic Consultants, P.A. (Sarasota, FL) and Dr. Robert K. Snyder- collectively, Ophthalmic Consultants - has agreed to pay $4.8 million to resolve allegations of healthcare fraud.
June 30, 2020; U.S. Attorney's Office, Eastern District of Virginia: University of Virginia Agrees to Settle Claims Associated with Federal Grants
ALEXANDRIA, Va. - The University of Virginia, located in Charlottesville, has agreed to pay $1 million to settle claims that it did not properly account for certain rebates and credits the university received on purchases it made in connection with federal grants and awards (Federal Awards).
June 26, 2020; U.S. Attorney's Office, Southern District of Georgia: Baxley pharmacist sentenced to four years in federal prison for conspiracy involving healthcare fraud, opioids
BRUNSWICK, GA: A pharmacist who owned and operated Fulghum Pharmacy in Baxley, Ga. was sentenced today to 48 months in federal prison after pleading guilty to a conspiracy that involved health care fraud and illegal distribution of opioids.
June 25, 2020; U.S. Attorney's Office, Northern District of Georgia: Atlanta hospital system to pay $16 million to resolve false claims allegations
ATLANTA - Piedmont Healthcare, Inc., an Atlanta-based hospital system, has agreed to pay $16 million to settle allegations that it violated the False Claims Act by billing Medicare and Medicaid for procedures at the more expensive inpatient level of care instead of the less costly outpatient or observation level of care. The settlement also resolves allegations that Piedmont paid a commercially unreasonable and above fair market value to acquire Atlanta Cardiology Group in 2007 in violation of the federal Anti-Kickback Statute.
June 25, 2020; U.S. Attorney's Office, Western District of Pennsylvania: Two Defendants Sentenced in Multi-Million Dollar Health Care Fraud Conspiracy
PITTSBURGH, Pa. - Two residents of Pittsburgh, Pennsylvania, were sentenced in federal court for conspiracy to defraud the Pennsylvania Medicaid program and health care fraud, United States Attorney Scott W. Brady announced today.
June 25, 2020; U.S. Attorney's Office, Eastern District of North Carolina: Greenville Ambulance Company Manager Sentenced to Prison in Multimillion Dollar Fraud and Identity Theft Scheme
RALEIGH, N.C. - Today a federal judge sentenced a Greenville ambulance company manager to 64 months in prison and 3 years of supervised release on charges of Conspiracy to Commit Health Care Fraud and Aggravated Identity Theft. He was also ordered to pay $4,726,464.42 in restitution.
June 24, 2020; U.S. Attorney's Office, District of Puerto Rico: Three Individuals Indicted & Arrested For Health Care Fraud
SAN JUAN, Puerto Rico - On June 17, 2020, a Federal Grand Jury in the District of Puerto Rico returned a 43-count indictment charging Sophia Pi�eiro-Ruscalleda, Dr. Alice Ruscalleda-Lebr�n and Juan Jos� Ruscalleda, former officials of New Health Med Group, Inc. (NHMG), with health care fraud, aggravated identity theft, conspiracy to commit health care fraud and obstruction of a criminal investigation related to health care offenses.
June 24, 2020; U.S. Attorney's Office, Western District of Virginia: Owner and Operator of Tennessee Drug Screening Lab Plead Guilty to Health Care Fraud
Michael and Regan Dube to Pay More than $9 million
ABINGDON, VIRGINIA - Michael Norman Dube, 59, who operated American Toxicology Labs, pleaded guilty today in the Western District of Virginia to health care fraud charges. Dube's wife, Regan Gran Dube, 40, also pleaded guilty.
June 24, 2020; U.S. Attorney's Office, Southern District of New York: Ophthalmologist Previously Charged With Healthcare Fraud Indicted For Defrauding SBA Program Intended To Help Small Businesses During COVID-19 Pandemic
AMEET GOYAL, M.D., an ophthalmologist in Rye, New York, previously indicted in this District for healthcare fraud offenses in November 2019, has been charged in a Superseding Indictment with fraudulently obtaining Government-guaranteed loans intended to help small businesses during the COVID-19 pandemic while he was on pretrial release.
June 24, 2020; U.S. Attorney's Office, Southern District of Georgia: Augusta University Medical Center agrees to pay $2.625 million to settle False Claims Act investigation
AUGUSTA, GA: Augusta University Medical Center, Inc. (AUMC) has agreed to a settlement with the United States, the State of Georgia, and the State of South Carolina to resolve allegations that AUMC submitted false claims to several government-funded healthcare programs.
June 23, 2020; U.S. Attorney's Office, District of Massachusetts: Lawrence Man Indicted on Identity Fraud Charges
BOSTON - A Lawrence man who has been living under a false identity was indicted today by a federal grand jury in Boston on charges arising from his use of the name and Social Security number of a U.S. citizen.
June 22, 2020; U.S. Attorney's Office, District of Massachusetts: Dominican National Pleads Guilty to False Identity Crimes
BOSTON - A Dominican national pleaded guilty today in federal court in Boston to fraudulent use of a Social Security number.
June 22, 2020; U.S. Attorney's Office, District of South Dakota: Former Tribal Chair Sentenced for Embezzlement Scheme; Defendants Prosecuted as Part of The Guardians Project, a Federal Law Enforcement Initiative to Combat Corruption, Fraud, and Abuse in South Dakota
United States Attorney Ron Parsons announced today that a former Chairman of the Crow Creek Sioux Tribe was sentenced for his role in a scheme involving the embezzlement of tribal funds by former elected tribal officials. Chief U.S. District Judge Roberto A. Lange presided over the sentencing hearing on June 16, 2020.
June 19, 2020; U.S. Attorney's Office, Western District of Pennsylvania: Greensburg Medical Lab Owner Pleads Guilty in $1.6M Fraud Scheme
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of conspiracy to defraud the United States, United States Attorney Scott W. Brady announced today.
June 17, 2020; Department of Justice: Nine Pharmacists Charged for Role in $12.1 Million Health Care Fraud Scheme
Nine pharmacists were charged in three separate indictments unsealed last week for their alleged participation in a $12.1 million health care fraud scheme executed in Detroit and southern Ohio.
June 16, 2020; U.S. Attorney's Office, Northern District of Ohio: Last of six sentenced in scheme to defraud Medicaid of millions; Jennifer Sheridan of Braking Point Recovery Center sentenced to 27 months imprisonment and ordered to pay $15,957,148 in restitution
Youngstown, Ohio - Justin E. Herdman, United States Attorney for the Northern District of Ohio, announced today that Jennifer Sheridan, age 42, of Austintown, Ohio, was sentenced to 27 months imprisonment, and ordered to pay $15,957,148 in restitution after pleading guilty to one count of health care fraud conspiracy.
June 15, 2020; U.S. Attorney's Office, District of Massachusetts: Registered Nurse Pleads Guilty to Drug Diversion Charge
BOSTON - A Haverhill nurse pleaded guilty today in federal court in Boston to tampering with patients' morphine.
June 11, 2020; U.S. Attorney's Office, Eastern District of Michigan: Nineteen Individuals Indicted In $41 Million Illegal Opioid Distribution Conspiracy
A Clinic Owner, Four Doctors, Two Nurse Practitioners and Three Pharmacists among Those Indicted
An indictment was unsealed today charging nineteen individuals with conspiracy to illegally distribute prescription drugs, U.S. Attorney Matthew Schneider announced today.
June 11, 2020; U.S. Attorney's Office, Southern District of Georgia: Florida man charged in telemedicine scheme; Defendant is 26th charged in telemedicine conspiracy in Southern District
SAVANNAH, GA: A Florida man who supplied Medicare patient information to his co-conspirators to ultimately bill Medicare for durable medical equipment claims has been charged for his alleged participation in a kickback and telemedicine fraud scheme.
June 11, 2020; Department of Justice: Former DEA Official Pleads Guilty to Elaborate $4 Million Fraud Scheme; Former Spokesman (2005-2009) Scammed Victims by Posing Falsely as Covert CIA Officer Involved in a Highly-classified Intelligence Program
A former Drug Enforcement Administration (DEA) public affairs officer pleaded guilty today to defrauding at least a dozen companies of over $4.4 million by posing falsely as a covert officer of the Central Intelligence Agency (CIA).
June 10, 2020; U.S. Attorney's Office, Eastern District of Missouri: Pharmacist Indicted for Presenting Forged Prescriptions for Opioid and Anti-Malaria Prescription
St. Louis, MO - Tamara Jo Nyachira, 40, of Pittsburg, Kansas, was indicted today with three felony charges of obtaining anti-malaria and narcotic opioid prescription drugs with forged prescriptions.
June 10, 2020; U.S. Attorney's Office, District of Maine: Portland Home Healthcare Company and Owner Settle False Claims Act Allegations
Portland, Maine: United States Attorney Halsey B. Frank today announced that a Portland home healthcare company and its owner have agreed to pay $111,200.46 to settle allegations that they violated the False Claims Act.
June 9, 2020; Department of Justice: Medical Technology Company President Charged in Scheme to Defraud Investors and Health Care Benefit Programs in Connection with COVID-19 Testing
The president of a California-based medical technology company was charged in a complaint unsealed today in the Northern District of California, in connection with his alleged participation in schemes to mislead investors, to manipulate the company's stock price and to conspire to commit health care fraud in connection with the submission of over $69 million in false and fraudulent claims for allergy and COVID-19 testing.
June 8, 2020; U.S. Attorney's Office, District of Connecticut: Wallingford Doctor Arrested for Selling Opioid Prescriptions for Cash, Health Care Fraud
John H. Durham, United States Attorney for the District of Connecticut, Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration for New England, Phillip Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General (HHS-OIG), David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, and Wallingford Police Chief William J. Wright today announced that a Wallingford doctor has been charged with federal controlled substances and health care offenses related to the illegal distribution of prescription medication.
June 5, 2020; Department of Justice: Four Florida Men Charged for Their Roles in a $54 Million Compound Pharmacy Kickback Scheme
Four Florida men were charged in an indictment unsealed Thursday for their alleged participation in a compound pharmacy kickback scheme.
June 5, 2020; U.S. Attorney's Office, District of Alaska: Alaska Neurology Center LLC and Its Owner to Pay $2 Million to Settle False Claims Act Allegations Regarding Fraudulent Medical Billing
Anchorage, Alaska - U.S. Attorney Bryan Schroder announced today that Anchorage-based Alaska Neurology Center LLC and its owner, Franklin Ellenson, M.D., have agreed to pay $2 million to resolve False Claims Act allegations that the medical practice knowingly submitted false billing claims to federal healthcare programs. Contemporaneous with the civil settlement, Alaska Neurology Center LLC and Dr. Ellenson agreed to a three-year Integrity Agreement with the U.S. Department of Health and Human Services.
June 5, 2020; U.S. Attorney's Office, District of New Jersey: Illinois Man Admits Role in $4.6 Million Health Care Fraud Related to Genetic Testing
NEWARK, N.J. - An Illinois man today admitted his role in a scheme to defraud the Medicare Program in connection with fraudulent orders for genetic tests, U.S. Attorney Craig Carpenito announced.
June 5, 2020; U.S. Attorney's Office, Northern District of Iowa: Sioux Center Chiropractic Clinic to Pay $30,418 to Resolve Allegations Related to Claims Submitted to Medicaid for Treatment of Children for Constipation and Ear Infections
A Sioux Center chiropractic clinic, Sioux Center Chiropractic Wellness Center, P.C., and the two chiropractors who operate the clinic - Tyler and Tiffany Armstrong - have agreed to pay $30,418 to resolve allegations they violated the False Claims Act by billing Medicaid for the treatment of conditions for which payment is not allowed, including constipation and ear infections. The settlement agreement resolves allegations related to the treatment of Medicaid beneficiaries seven and under from April 2014 to July 2019. The claims settled by the agreement are allegations only; there has been no admission or judicial determination of liability. The case was handled by Assistant United States Attorneys Jacob Schunk and Melissa Carrington. The allegations resolved by the settlement arose from an investigation led by the State of Iowa's Medicaid Fraud Control Unit. False Claims Act cases also arise under the qui tam, or whistleblower provisions, of the False Claims Act. Under those provisions, a private party may file suit on behalf of the United States for false claims and share in any recovery.
June 2, 2020; U.S. Attorney's Office, Southern District of West Virginia: Meds2Go Express Pharmacy, Inc. Sentenced for Role in Drug Diversion Scheme; Pharmacy Shut Down and Ordered to Pay $250,000 in Community Restitution and Forfeiture
CHARLESTON, W.Va. - Meds2Go Express Pharmacy, Inc. (Meds2Go), a pharmacy located in Alum Creek in Lincoln County, was sentenced for money laundering, announced United States Attorney Mike Stuart. The money laundering conviction arose out of a conspiracy between the pharmacy and Hope Clinic, a pain clinic operating as a pill mill, to dispense compound opioids for no legitimate medical purpose and outside the bounds of professional medical practice. As part of the plea agreement in December 2019, Meds2Go was shut down and has now been ordered to pay $250,000 toward community restitution and forfeiture. The community restitution will be paid for the costs associated with drug abuse treatment in West Virginia to redress the harm caused by illicit opioid usage stemming from the sale of prescription opioids. The West Virginia Crime Victim's Compensation Fund will receive 65% of the community restitution amount, and 35% will be paid to West Virginia Department of Health and Human Resources, Bureau of Behavioral Health and Health Facilities.
June 2, 2020; U.S. Attorney's Office, District of New Jersey: Owners of Texas and Mississippi Laboratories Admit Roles in Kickback Scheme Related to Genetic Testing
NEWARK, N.J. - The owners of two clinical laboratories in Texas and Mississippi today admitted their roles in a scheme to pay kickbacks in exchange for referrals of patient DNA samples and genetic tests to the laboratories, U.S. Attorney Craig Carpenito announced.
June 2, 2020; U.S. Attorney's Office, District of New Jersey: Camden County Man Admits Role in Theft of Government Funds Scheme and Defrauding Supplemental Nutrition Assistance Program
CAMDEN, N.J. - A Camden County man today admitted his role in a scheme to steal hundreds of thousands of dollars in government funds using fraudulently procured electronic benefits transfer (EBT) cards, U.S. Attorney Craig Carpenito announced.