Criminal and Civil Enforcement

October 2020

October 22, 2020; U.S. Attorney's Office, Western District of Virginia: Suboxone Manufacturer Indivior's Former Chief Executive Officer Sentenced to Jail Time in Connection with Drug Safety Claims
ABINGDON, VIRGINIA - Shaun Thaxter, the former chief executive officer of Indivior PLC, was sentenced today in U.S. District Court in Abingdon to 6 months in federal prison. He was also ordered to pay a fine of $100,000 and forfeit $500,000. Thaxter pleaded guilty to a one-count misdemeanor information on June 30, 2020 for his role in causing the introduction into interstate commerce of misbranded shipments of the opioid drug Suboxone Film, a violation of the Federal Food, Drug, and Cosmetic Act.
October 21, 2020; Department of Justice, Office of Public Affairs: Justice Department Announces Global Resolution of Criminal and Civil Investigations with Opioid Manufacturer Purdue Pharma and Civil Settlement with Members of the Sackler Family
Today, the Department of Justice announced a global resolution of its criminal and civil investigations into the opioid manufacturer Purdue Pharma LP (Purdue), and a civil resolution of its civil investigation into individual shareholders from the Sackler family. The resolutions with Purdue are subject to the approval of the bankruptcy court.
October 21, 2020; U.S. Attorney's Office, Eastern District of Virginia: Arlington Man Pleads Guilty to $3.5M Healthcare Fraud Conspiracy
ALEXANDRIA, Va. - An Arlington man pleaded guilty yesterday to his role in a conspiracy to commit health care fraud that resulted in losses of over $3.5 million.
October 20, 2020; U.S. Attorney's Office, District of New Jersey: Medical Assistant Admits Role in Genetic Testing Kickback and Bribery Scheme
NEWARK, N.J. - A Pennsylvania medical assistant today admitted participating in a conspiracy to receive bribes and kickbacks in exchange for ordering genetic tests, U.S. Attorney Craig Carpenito announced.
October 20, 2020; U.S. Attorney's Office, District of Maryland: Former Department Head at Walter Reed National Military Medical Center Pleads Guilty to Federal Charges in Maryland for Accepting Gratuities: Public Official Received Money, Travel, and Sporting Event Tickets From A Maryland Company Receiving Over $25 Million in Government Business
Greenbelt, Maryland - David Laufer, age 63, of Pittsburgh, Pennsylvania, formerly of Bethesda, Maryland, pleaded guilty today to acceptance of gratuities by a public official.
October 16, 2020; U.S. Attorney's Office; Western District of Texas: Federal Grand Jury in San Antonio Indicts Two in Health Care Fraud Scheme
In San Antonio today, federal authorities arrested a former employee of medical services provider Kindred Home Health (KHH) for her role in prescription fraud and home health kickback schemes, announced U.S. Attorney Gregg N. Sofer; FBI Special Agent in Charge Christopher Combs, San Antonio Division, and Special Agent in Charge Michael Mentavlos of the Defense Criminal Investigative Service (DCIS), Southwest Field Office.
October 15, 2020; U.S. Attorney's Office, District of Connecticut: Avon Man Allegedly Involved in Wide-Ranging Health Care Fraud Schemes Arrested
John H. Durham, United States Attorney for the District of Connecticut, Phillip Coyne, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of Inspector General, and David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, today announced that CORTNEY DUNLAP, 36, of Avon, was arrested yesterday on a federal criminal complaint charging him with health care fraud and making false statements relating to health care matters.
October 14, 2020; U.S. Attorney's Office, District of New Jersey: Medical Device Maker to Pay $18 Million to Settle Allegations of Improper Payments to Physicians
NEWARK, N.J. - A medical device maker has agreed to pay $18 million to resolve allegations that the company caused the submission of false claims to the Medicare, Medicaid, and TRICARE programs by paying kickbacks to physicians and hospitals to induce the use of its products, the U.S. Attorney's Office for the District of New Jersey and the Department of Justice announced today.
October 13, 2020; U.S. Attorney's Office, Central District of Illinois: Four Chicago Women Indicted for Allegedly Defrauding Child Care Subsidy Program of More Than $1 Million
SPRINGFIELD, Ill. - A grand jury has returned indictments that charge four Chicago women with allegedly defrauding a government child care subsidy program intended to provide affordable child care to eligible parents. Each woman owned and operated a licensed day care in Chicago that allegedly submitted false claims for payment for child care services that were not provided or were not provided to the extent charged. As a result of the alleged schemes, the estimated loss to the government is more than $1 million.
October 8, 2020; U.S. Attorney's Office, Eastern District of North Carolina: Medicare Fraud Result in Charges Against Raleigh and Greensboro Men
RALEIGH, N.C. - Today, a federal grand jury returned an Indictment charging Furman Alexander Ford, 51, of Raleigh with conspiring to defraud the Medicare Program by submitting false claims for services that were never provided in order to obtain money what was not owed. On August 26, 2020, Jimmy Guess, 62, of Greensboro pled guilty to the conspiracy to defraud Medicare.
October 7, 2020; U.S. Attorney's Office, Southern District of Georgia: Operation Rubber Stamp: Major health care fraud investigation results in significant new charges: Takedown involves first billion-dollar fraud case in district history
SAVANNAH, GA: The third in a nationwide series of telemedicine fraud prosecutions includes cases in the Southern District of Georgia identifying more than $1.5 billion in fraudulent billings to government healthcare insurance programs.
October 7, 2020; U.S. Attorney's Office, District of South Carolina: More Than 40 Facing Federal Charges for Bilking Federal Health Care Programs Out of Millions Across South Carolina and Georgia in Operation Rubber Stamp
Columbia, South Carolina --- Peter M. McCoy, Jr., U.S. Attorney for the District of South Carolina, and Bobby L. Christine, U.S. Attorney for the Southern District of Georgia, announced today that more than 40 people are facing federal charges for their roles in expansive health care fraud schemes across South Carolina and Georgia resulting in hundreds of millions of dollars in fraudulent billings. The charges mark the third in a nationwide series of telemedicine fraud prosecutions, which began through investigative efforts out of the District of South Carolina.
October 6, 2020; U.S. Attorney's Office, Western District of Louisiana: Monroe Lab Owner Indicted for Paying Bribes and Kickbacks Resulting in Improper Billings to Medicare of Approximately $117 Million
MONROE, La. - George M. "Trey" Fluitt, III, 53, of Monroe, made his initial appearance in United States District Court today, Acting United States Attorney Alexander C. Van Hook announced. Fluitt, the owner and operator of Specialty Drug Testing, LLC ("Specialty") in Monroe, was indicted by a federal grand jury for paying bribes and kickbacks in violation of the Anti-Kickback Statute, resulting in improper billings to Medicare of approximately $117 million.
October 6, 2020; U.S. Attorney's Office, Eastern District of New York: Former Stony Brook University Professor Sentenced to Prison for Stealing Cancer Research Funds: Dr. Geoffrey Girnun Used Government Funds to Make Personal Mortgage and Tuition Payments
Geoffrey Girnun, a former Associate Professor and cancer researcher at Stony Brook University's Department of Pathology of Medicine, was sentenced today by United States District Judge Denis R. Hurley via videoconference to one year and a day in prison for theft of government funds related to a grant he received to research the effect of certain molecules on cancer. Girnun pleaded guilty in January 2020 and pursuant to his plea agreement agreed to forfeit $225,000 and resign from his position at Stony Brook University. The Court also ordered restitution to be paid to the National Institutes of Health (NIH) and Stony Brook University in the amount of $225,000.
October 6, 2020; U.S. Attorney's Office, Southern District of New York: Physical Therapist Sentenced To 2 Years In Prison For Participating In $30 Million Scheme To Defraud Medicare And Medicaid
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, announced that physical therapist HATEM BEHIRY was sentenced today by U.S. District Judge Lorna G. Schofield to 24 months in prison for his participation in a $30 million scheme to defraud Medicare and the New York State Medicaid Program ("Medicaid").
October 5, 2020; U.S. Attorney's Office, District of New Jersey: Ringleader of Gloucester City Drug Ring Admits Trafficking Oxycodone, Adderall, and Xanax and Engaging in SNAP Fraud
CAMDEN, N.J. - A Gloucester City, New Jersey, man today admitted conspiring to distribute and selling oxycodone, Adderall, and Xanax and defrauding the federal Supplemental Nutrition Assistance Program (SNAP) in connection with his role in a drug trafficking ring, U.S. Attorney Craig Carpenito announced.
October 2, 2020; U.S. Attorney's Office, Southern District of California: San Diego Laboratory Phamatech Agrees to Pay $3 Million to Settle Fraudulent Medicare Billing Case
San Diego - San Diego-based Phamatech, Inc. and its CEO and founder, Tuan Pham, have agreed to pay $3,043,484 to resolve allegations that they violated the False Claims Act by submitting false claims to Medicare for laboratory drug-testing services. Phamatech is a medical technology company that manufactures diagnostic devices and provides laboratory testing including for drugs and alcohol.
October 2, 2020; U.S. Attorney's Office, Eastern District of Wisconsin: Pain Management Companies Agree to Pay $1 Million to Resolve Allegations They Violated the False Claims Act and Anti-Kickback Statute
United States Attorney Matthew D. Krueger announced today that Advanced Pain Management ("APM") has agreed to pay $1 million to settle claims asserting violations of the False Claims Act by paying kickbacks and by performing medically unnecessary laboratory tests.
October 2, 2020; U.S. Attorney's Office, District of Massachusetts: Registered Nurse Pleads Guilty to Drug Diversion
BOSTON - A Dighton registered nurse pleaded guilty today in federal court in Boston to drug tampering.
October 2, 2020; U.S. Attorney's Office, Eastern District of New York: New York Physical Therapy Providers Settle Civil Healthcare Fraud Allegations: Williamsburg and Euro Physical Therapy and Their Operators to Pay $4 Million to Resolve Allegations of False Claims to Medicare, Medicaid and Federally-Funded Healthcare Programs
Williamsburg Physical Therapy, P.C. and Euro Physical Therapy, P.C. have agreed to pay the United States and the State of New York $4 million to resolve civil allegations that they falsely billed Medicare, Medicaid, the Federal Employees' Compensation Act Program (FECA) and the Federal Employees' Health Benefits Program (FEHBP) for physical therapy services from 2008 to 2018.
October 2, 2020; U.S. Attorney's Office, District of Massachusetts: Three Defendants Charged in Multi-Million Dollar Medicare Fraud Scheme
BOSTON - Three individuals were charged today in connection with a multi-million dollar Medicare fraud scheme, bringing the total number of defendants to six.
October 1, 2020; U.S. Attorney's Office, District of Connecticut: Manchester Dentist, Dental Clinics and Dental Imaging Facility Pay $300K to Settle False Claims Allegations
John H. Durham, United States Attorney for the District of Connecticut, today announced that ABBAS MOHAMMADI, DDS, and his businesses, COLUMBIA DENTAL, P.C. and COLUMBIA ORAL MAXILLOFACIAL IMAGING, L.L.C., have entered into a civil settlement agreement with the federal and state governments and paid $300,000 to resolve allegations that they violated the federal and state False Claims Acts.
October 1, 2020; U.S. Attorney's Office, Eastern District of Michigan: Pharmacy Owner and Pharmacist Charged in a Scheme to Bill Insurance for Medications Not Dispensed : Law Enforcement Deploys Resources to Recover Assets for Victims
DETROIT - A grand jury returned a superseding indictment yesterday charging Wansa Nabih Makki, her husband, Hossam Tanana, and her brother, Mahmoud Makki with multiple health care fraud and money laundering offenses, U.S. Attorney Matthew Schneider announced today.
October 1, 2020; U.S. Attorney's Office, Northern District of West Virginia: West Virginia physician admits to illegally distributing drugs
CLARKSBURG, WEST VIRGINIA - Dr. Felix Brizuela, Jr., of Harrison City, Pennsylvania, has admitted to illegally distributing controlled substances, U.S. Attorney Bill Powell announced. Plus, post the following Nine cases to the State Enforcement Action Webpage
October 1, 2020; U.S. Attorney's Office, Western District of Tennessee: East Tennessee Woman Sentenced to Federal Prison for Forging Prescriptions
Memphis, TN - Erin Pealor, 36, of Maryville, TN, has been sentenced to 36 months in federal prison for attempting to acquire or obtain a controlled substance by misrepresentation, fraud, forgery, deception, or subterfuge. D. Michael Dunavant, U.S. Attorney for the Western District of Tennessee and Brian Rabbitt, Acting Assistant Attorney General Justice Department's Criminal Division, announced the sentence today.
October 1, 2020; U.S. Attorney's Office, District of Connecticut: Connecticut Licensed Alcohol and Drug Counselor Pays $230K to Settle False Claims Allegations
John H. Durham, United States Attorney for the District of Connecticut, today announced that HECTOR B. CHUKWUEMEKA OKWUOSA, LADC, and his business, MY FATHER MY SON REHABILITATION AND COUNSELING CENTER LLC, have entered into a civil settlement agreement with the federal and state governments and paid $230,000 to resolve allegations that they violated the federal and state False Claims Acts.

September 2020

September 30, 2020; U.S. Department of Justice: National Health Care Fraud and Opioid Takedown Results in Charges Against 345 Defendants Responsible for More than $6 Billion in Alleged Fraud Losses: Largest Health Care Fraud and Opioid Enforcement Action in Department of Justice History
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department's Criminal Division, Assistant Director Calvin Shivers of the FBI's Criminal Investigative Division, Deputy Inspector General Gary Cantrell of the Department of Health and Human Services Office of Inspector General (HHS-OIG) and Assistant Administrator Tim McDermott of the Drug Enforcement Administration (DEA) today announced a historic nationwide enforcement action involving 345 charged defendants across 51 federal districts, including more than 100 doctors, nurses and other licensed medical professionals.
September 30, 2020; U.S. Attorney's Office, Eastern District of Pennsylvania: U.S. Attorney McSwain Announces Charges Against Delaware County Doctor and Medical Office Manager as Part of Nationwide Health Care Fraud Takedown
PHILADELPHIA - United States Attorney William M. McSwain announced that three individuals have been charged in the Eastern District of Pennsylvania in connection with a nationwide health care fraud takedown that charged 345 defendants across 51 federal districts, including more than 100 doctors, nurses and other licensed medical professionals. These defendants have been charged with submitting more than $6 billion in alleged fraudulent claims to federal health care programs and private insurers, connected to topics such as telemedicine, substance abuse treatment facilities, and illegal opioid distribution schemes. This is the largest health care fraud and opioid enforcement action in U.S. Department of Justice history.
September 30, 2020; U.S. Attorney's Office, Eastern District of New York: Two Doctors, Two Licensed Physical Therapists, a Pharmacist, and Four Pharmacy Owners and Operators Among Those Charged in Brooklyn as Part of National Health Care Fraud Takedown
Fifteen individuals, including two doctors, two licensed physical therapists, a licensed clinical social worker, a pharmacist and four pharmacy owners and operators, have been charged for their participation in schemes that fraudulently billed the Medicare and Medicaid programs for more than $15 million. The charges filed in federal court in Brooklyn, New York are part of a nationwide health care fraud takedown led by the Medicare Fraud Strike Force, which resulted in criminal charges against more than 300 individuals for their alleged participation in health care fraud schemes involving approximately $6 billion in fraudulent claims.
September 30, 2020; U.S. Attorney's Office, Middle District of Florida: National Health Care Fraud And Opioid Takedown Results In Largest Enforcement Action In Department Of Justice History: 19 Defendants Charged In the Middle District Of Florida
WASHINGTON - Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department's Criminal Division, Assistant Director Calvin Shivers of the FBI's Criminal Investigative Division, Deputy Inspector General Gary Cantrell of the Department of Health and Human Services Office of Inspector General (HHS-OIG) and Assistant Administrator Tim McDermott of the Drug Enforcement Administration (DEA) today announced a historic nationwide enforcement action involving 345 charged defendants across 51 federal districts, including more than 100 doctors, nurses, and other licensed medical professionals.
September 30, 2020; U.S. Attorney's Office, District of Montana: National health care fraud and opioid takedown results in charges against 345 defendants responsible for more than $6 billion in losses: Two Montana nurse practitioners indicted in telemedicine fraud scheme for orthotic braces
BILLNGS - The U.S. Attorney's Office for the District of Montana, along with the U.S. Department of Justice, today announced historic national health care fraud and opioid enforcement actions as part of an investigation that includes the indictments of two Montana nurse practitioners accused of participating in a telemedicine scheme to defraud Medicare of almost $10 million.
September 30, 2020; U.S. Attorney's Office, Northern District of Alabama: Northern District of Alabama Announces Charges in Health Care Fraud Cases as Part of Nationwide Law Enforcement Effort: Seven Charged in the Northern District of Alabama in a $41 Million Drug Distribution and Health Care Fraud Scheme
BIRMINGHAM, Ala. - Seven individuals have been charged in the Northern District of Alabama with a $41 million health care fraud, drug distribution, and kickback conspiracy run out of Northern Alabama Pain Specialists ("NAPS"), a clinic owned and operated by the husband and wife. The announcements are part of a federal law enforcement effort to crack down on health care fraud nationwide.
September 30, 2020; U.S. Attorney's Office, District of New Jersey: District of New Jersey Announces Charges in Health Care Fraud Cases as Part of Nationwide Federal Law Enforcement Effort: Six Charged in New Jersey in $100 Million Telemedicine Scheme; Three Men Admit Guilt in Unrelated Frauds
NEWARK, N.J. - Six individuals have been charged in New Jersey for their roles in a massive nationwide prescription medication and durable medical equipment telemedicine scheme, and three others admitted their roles in three other health care fraud cases. The announcements are part of a federal law enforcement effort to crack down on health care fraud nationwide.
September 30, 2020; U.S. Attorney's Office, Southern District of California: National Health Care Fraud and Opioid Takedown Results in Charges Against 345 Defendants Responsible for More Than $6 Billion in Alleged Fraud Losses; San Diego Defendants Charged
SAN DIEGO - Federal officials today announced a historic nationwide enforcement action involving 345 charged defendants across 51 federal districts, including more than 100 doctors, nurses and other licensed medical professionals located in San Diego and across the country.
September 29, 2020; U.S. Attorney's Office, District of Massachusetts: Two Defendants Agree to Plead Guilty to Multi-Million Dollar Medicare Fraud Scheme
BOSTON - A Colorado woman and a Florida woman have agreed to plead guilty in connection with a multi-million dollar Medicare fraud scheme.
September 29, 2020: U.S. Attorney's Office, Southern District of Texas: Laredo eye doctor pays over $3M to resolve fraud claims
LAREDO, Texas - A South Texas doctor has agreed to pay $3,234,900.50 to resolve allegations he fraudulently submitted claims to the Medicare program for medically unnecessary tests and procedures, announced U.S. Attorney Ryan K. Patrick.
September 29, 2020; U.S. Attorney's Office, District of Puerto Rico: Husband And Wife Indicted And Arrested For Health Care Fraud
SAN JUAN, Puerto Rico - On September 24, 2020, a Federal Grand Jury in the District of Puerto Rico returned two separate indictments charging Robert Crespo Zamora and Carmen J. Pagán Domínguez with health care fraud, aggravated identity theft, conspiracy to commit health care fraud, obstruction of a criminal investigation related to health care offenses, and mail fraud conspiracy, announced W. Stephen Muldrow, U.S. Attorney for the District of Puerto Rico.
September 25, 2020; U.S. Attorney's Office, Eastern District of Arkansas: Doctor Pleads Guilty to Obstructing Telemedicine Investigation
LITTLE ROCK-A Dallas-area doctor pled guilty this afternoon to obstructing a federal health care investigation. Cody Hiland, United States Attorney for the Eastern District of Arkansas, Michael C. Mentavlos, Special Agent in Charge of the Defense Criminal Investigative Service Southwest Field Office, Patrick Roche, Acting Special Agent in Charge of the Department of Veterans Affairs Office of Inspector General South Central Field Office, Miranda L. Bennett, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services, and Diane Upchurch, Special Agent in Charge of the FBI Little Rock Field Office, announced Dr. Lorraine De Blanche, 56, pled guilty this afternoon before U.S. District Judge Brian S. Miller.
September 25, 2020; U.S. Attorney's Office, Middle District of Florida: Radiology Center Pays $501,000 To Resolve Healthcare Fraud Allegations
Fort Myers, FL - United States Attorney Maria Chapa Lopez announces that Advanced Imaging of Port Charlotte, LLC, a radiology center headquartered in Port Charlotte, Florida, has agreed to pay $501,000 to resolve allegations that it violated the False Claims Act by submitting fraudulent claims to Medicare and Tricare, a health care program for uniformed service members, retirees, and their families.
September 25, 2020; U.S. Attorney's Office, Eastern District of Tennessee: Addiction Recovery Physician Pays $530,000 To Resolve False Claims Act Allegations Of Billing For Psychotherapy Rendered By Unlicensed Or Unsupervised Providers And Other Improper Billings
KNOXVILLE, Tenn. - Addiction Recovery physician Dr. Chambless Johnston and his practice, East Tennessee Recovery, have paid $530,000 to resolve several allegations that they violated the False Claims Act. The allegations include billing for individual and group psychotherapy provided by unlicensed or unsupervised providers; upcoding Evaluation and Management office visits; and providing case management services not covered in the practice's contract or improperly rendered in a group setting.
September 24, 2020, U.S. Attorney's Office, Eastern District of Missouri: Grand Jury indicts Chesterfield psychiatrist and business partner in health care fraud and money laundering scheme
ST. LOUIS, MO - Dr. Franco Sicuro, of Chesterfield, Missouri, and Carlos Himpler, of Baton Rouge, Louisiana, were indicted on multiple charges of conspiracy and health care fraud charges. The indictment charges that as part of a fraud scheme Genotec DX and Midwest Toxicology Group, owned by Dr. Sicuro and Carlos Himpler, received over $15 million dollars for clinical laboratory tests that Genotec DX and Midwest Toxicology Group did not perform.
September 24, 2020; U.S. Attorney's Office, Western District of Virginia: Blacksburg Doctor to Serve 90 Months in Prison on Health Care Fraud, Distribution of Controlled Substances, Obstruction of Justice Charges
ROANOKE, Va. - Frank Purpera Jr., the former owner of the Virginia Vein Institute, was sentenced today in U.S. District Court in Roanoke to 90 months in federal prison after being convicted by a jury in January 2020 of illegally distributing controlled substances, health care fraud, conspiracy to commit health care fraud, and obstruction of justice. Acting United States Attorney Daniel P. Bubar, Virginia Attorney General Mark Herring and Maureen R. Dixon, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services made the announcement today.
September 21, 2020; U.S. Attorney's Office, Eastern District of Pennsylvania: Neurosurgeon Medical Practice Director to Pay Over $1 Million to Resolve False Claims Act Liability Arising from Billing of P-Stim Devices
PHILADELPHIA - First Assistant United States Attorney Jennifer Arbittier Williams announced that neurosurgeon Sagi M. Kuznits, practice director Pnina Kuznits, and Neurosurgical Care LLC (collectively, "Kuznits"), have agreed to pay $1,017,375.03 to resolve liability under the False Claims Act for the alleged improper billing of electro-acupuncture devices called Stivax and/or P-Stim and a memory-loss device called eVox.
September 18, 2020; U.S. Attorney's Office, Eastern District of Pennsylvania: Chester County Doctor Agrees to Pay Over $1.2 Million to Settle Allegations of Fraudulent Billing and Unlawful Opioid Distribution
PHILADELPHIA- United States Attorney William M. McSwain announced that Thomas J. Whalen, D.O., 65, of Berwyn, PA, has agreed to pay the United States $1,257,499.00 to resolve allegations under the False Claims Act that he submitted or caused the submission of false claims to federal health care plans for FDA-approved versions of Remicade, Orencia, Prolia/Xgeva, Synvisc/Synvisc One, and Boniva when he had, in fact, administered non-FDA-approved, foreign versions of these medications.
September 18, 2020; U.S. Attorney's Office, Eastern District of Missouri: Grand jury indicts St. Louis County woman who made false claims to Medicaid
ST. LOUIS, MO - On September 17, 2020, a federal grand jury indicted Yvonne Woods on three counts of making false, fictitious or fraudulent claims. The 50 year old is a resident of St. Louis County.
September 17, 2020; U.S. Attorney's Office, District of South Dakota: Rosebud Man Indicted on Theft and Drug Charges
United States Attorney Ron Parsons announced that a Rosebud, South Dakota, man has been indicted by a federal grand jury for Theft in Connection with Health Care, Theft From a Tribal Organization, and Obtaining Controlled Substances by Deception.
September 16, 2020; U.S. Attorney's Office, Middle District of Florida: Sarasota Pain Doctor And Former Insys Sales Representative Charged In Health Care Fraud Kickback Conspiracy
Tampa, Florida - United States Attorney Maria Chapa Lopez announces the unsealing of a 16-count indictment charging Steven Chun (57, Sarasota) and Daniel Tondre (50, Tampa) with conspiring to pay and receiving kickbacks in connection with prescribing a fentanyl spray.
September 14, 2020; U.S. Attorney's Office, District of South Dakota: Rapid City Man Sentenced for Wire Fraud and Theft of Government Property
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man convicted of 2 counts of Wire Fraud and 1 count of Theft of Government Property was sentenced by Judge Jeffrey L. Viken, U.S. District Court.
September 14, 2020; U.S. Attorney's Office, Western District of Pennsylvania: Ex-Doctor's Girlfriend Sentenced in Scheme to Illegally Distribute Oxycodone and Defraud Medicare and Medicaid
PITTSBURGH - The girlfriend of a former Pennsylvania-licensed physician has been sentenced in federal court to a total of 63 months' imprisonment on her conviction for conspiracy to illegally distribute oxycodone, conspiracy to commit health care fraud, conspiracy to commit money laundering, and theft of public money, United States Attorney Scott W. Brady announced today.
September 11, 2020; U.S. Department of Justice: The Scripps Research Institute To Pay $10 Million To Settle False Claims Act Allegations Related To Mischarging NIH-Sponsored Research Grants
The Scripps Research Institute (TSRI) has agreed to pay the U.S. $10 million to settle claims that it improperly charged NIH-funded research grants for time spent by researchers on non-grant related activities such as developing, preparing, and writing new grant applications, teaching, and engaging in other administrative activities, the Department of Justice announced today.
September 10, 2020; U.S. Attorney's Office, Western District of Louisiana: Shreveport Prosthetics, Inc. Agrees to Pay $1.6 Million to Resolve False Claims Act Allegations
SHREVEPORT, La. - Acting United States Attorney Alexander C. Van Hook announced that Shreveport Prosthetics, Inc. ("SPI") has agreed to pay $1.6 million, plus interest, to the federal government to resolve allegations that it violated the False Claims Act for false supplier billings to the Medicare program.
September 10, 2020; U.S. Attorney's Office, District of Montana: Ex-Indian Health Services doctor admits conflict of interest charges: Prescribed diabetes drug in exchange for kickbacks
GREAT FALLS - A former Indian Health Services doctor who worked in Browning today admitted charges of conflict of interest for using his job to prescribe a diabetes drug from a pharmacy in exchange for kickbacks, U.S. Attorney Kurt Alme said.
September 9, 2020; U.S. Attorney's Office, Western District of Pennsylvania: West Virginia Hospital Agrees to Pay $50 Million to Settle Allegations Concerning Improper Compensation to Referring Physicians
WASHINGTON - Wheeling Hospital, Inc., an acute care hospital located in Wheeling, West Virginia, has agreed to pay the United States a total of $50,000,000 to resolve claims that it violated the False Claims Act by knowingly submitting claims to the Medicare program that resulted from violations of the Physician Self-Referral Law and the Anti-Kickback Statute, the Justice Department announced today.
September 9, 2020; U.S. Attorney's Office, Western District of North Carolina: Owner And Two Managers Of Health Care Practice Agree To Pay $900,000 To Resolve Allegations Of Medically Unnecessary Testing
CHARLOTTE, N.C. - U.S. Attorney Andrew Murray announced today that two former managers and the owner of the now defunct North-Carolina based Carolina Comprehensive Health Network, PA (CCHN) have agreed to resolve allegations that they violated the False Claims Act by causing CCHN to bill claims for medically unnecessary diagnostic tests and procedures to the Medicare and Medicaid programs.
September 8, 2020; U.S. Attorney's Office, Southern District of Illinois: Madison County Nurse Practitioner Pleads Guilty to Healthcare Fraud
Jami L. Mayhew of Glen Carbon, Illinois, pleaded guilty today to a single-count felony information charging her with healthcare fraud. Facts elicited at the plea hearing established that, from May 30 to June 26, 2017, the 41-year old nurse practitioner knowingly participated in a scheme to defraud Medicare by performing medically unnecessary visits in nursing homes located in St. Clair and Madison counties.
September 4, 2020; U.S. Attorney's Office, District of Oregon: Springfield Woman Sentenced to Prison for Health Care Fraud and Tax Evasion
PORTLAND, Ore.-On September 2, 2020, a Springfield woman who owned several durable medical equipment stores in Oregon was sentenced to federal prison for defrauding six health insurance plans of approximately $1.3 million and for evading $99,000 in federal income taxes, announced U.S. Attorney Billy J. Williams.
September 3, 2020; U.S. Attorney's Office, Eastern District of Pennsylvania: Pennsylvania Medicare Advantage Plan Provider Agrees to Pay $2.25M to Resolve Allegations of Inflated Plan Bids
PHILADELPHIA - United States Attorney William M. McSwain announced that Keystone Health Plan East, Inc. and QCC Insurance Company, Inc. (collectively referred to as "KHPE/QCC"), on behalf of parent company Independence Blue Cross, LLC ("IBC"), operator of Medicare Advantage plans, have agreed to pay a total of $2,250,000 plus interest to resolve False Claims Act allegations of incorrectly calculating anticipated plan costs, resulting in inflated Medicare Advantage plan bids to the Centers for Medicare and Medicaid Services.
September 3, 2020; U.S. Attorney's Office, District of New Jersey: Medical Assistant Admits Role in Genetic Testing Kickback and Bribery Scheme
TRENTON, N.J. - A Pennsylvania medical assistant today admitted participating in a conspiracy to receive bribes and kickbacks in exchange for ordering genetic tests, U.S. Attorney Craig Carpenito announced.
September 2, 2020; Department of Justice: Three Former Caregivers Sentenced on Civil Rights and Obstruction Charges Related to Death of Disabled Resident
Three former caregivers in Fulton, Missouri, have been sentenced for their roles in the death of a disabled resident at Second Chance Homes, an organization that provided housing and care for developmentally disabled persons through a Missouri Department of Mental Health initiative.
September 2, 2020; U.S. Attorney's Office, Middle District of Florida: Home Health Company Agrees To Pay $300,000 To Resolve Allegations Of Illegal Kickback Scheme
Orlando, FL - United States Attorney Maria Chapa Lopez announces today that Home Health Care of Florida, LLC has agreed to pay $300,000 to resolve allegations that it engaged in a kickback scheme related to the referral of Medicare patients for home health services.
September 1, 2020; U.S. Attorney's Office, Southern District of Texas: Shelter worker admits to housing illegal teen after escape from facility
BROWNSVILLE, Texas - A 24-year-old Brownsville resident has pleaded guilty for her role in an alien smuggling incident involving a juvenile resident of the Southwest Key facility, announced U.S. Attorney Ryan K. Patrick.

August 2020

August 31, 2020; U.S. Attorney's Office, Eastern District of New York: Manager of Medical Clinics in Brooklyn and Queens Sentenced to 13 Years in Prison for Multimillion-Dollar Money Laundering and Health Care Kickback Scheme
WASHINGTON - Earlier today, in federal court in Brooklyn, Aleksandr Pikus was sentenced by United States District Judge Ann M. Donnelly to 13 years' imprisonment for his role in a massive healthcare kickback and money laundering conspiracy.
August 31, 2020; U.S. Attorney's Office, Western District of Virginia: Opioid Manufacturer Indivior's Former Global Medical Director Pleads Guilty In Connection With Drug Safety Claims
ABINGDON, VIRGINIA - Timothy Baxter, the former global medical director of Indivior, pleaded guilty today in U.S. District Court in Abingdon to a one-count misdemeanor 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. Indivior's former chief executive officer, Shaun Thaxter, recently pleaded guilty to a similar charge.
August 27, 2020; U.S. Attorney's Office, District of New Jersey: New Jersey Electronic Health Records Company to Pay $500,000 to Resolve False Claims Act Allegations
NEWARK, N.J. - An electronic health records company based in Passaic County, New Jersey, has agreed to pay $500,000 to resolve allegations that a former subsidiary caused users to file false claims with the government, U.S. Attorney Craig Carpenito announced today.
August 26, 2020; U.S. Attorney's Office, District of New Jersey: Camden County Man Admits Role in Government Benefits Fraud Scheme
CAMDEN, N.J. - A Camden, New Jersey, man today admitted his role in a scheme that netted tens of thousands of dollars in government funds using fraudulently procured electronic benefits transfer (EBT) cards, U.S. Attorney Craig Carpenito announced.
August 26, 2020; U.S. Attorney's Office, District of New Jersey: Fourth Person Admits Trafficking High-Dosage Oxycodone Pills Related to Gloucester City Drug Ring
CAMDEN, N.J. - A Camden County, New Jersey, man today admitted buying and reselling high-dosage oxycodone pills in Gloucester City, New Jersey, U.S. Attorney Craig Carpenito announced.
August 25, 2020; U.S. Attorney's Office, Eastern District of Kentucky: Floyd County Dentist Pleads Guilty to Health Care Fraud
FRANKFORT, Ky.- A McDowell, Ky., man, Denver D. Tackett, DMD, 66, pleaded guilty on Tuesday, before U.S. District Judge Gregory Van Tatenhove, to health care fraud.
August 25, 2020; U.S. Attorney's Office, Southern District of Texas: Pain doctor pays to settle allegations of deceptive Medicare billing
HOUSTON - A 52-year-old pain management physician from Houston has paid $530,000 to resolve allegations he falsely billed Medicare for the use of electro-acupuncture devices, announced U.S. Attorney Ryan K. Patrick.
August 24, 2020; Department of Justice: DUSA Pharmaceuticals To Pay U.S. $20.75 Million To Settle False Claims Act Allegations Relating To Promotion Of Unsupported Drug Administration Process
Massachusetts-based DUSA Pharmaceuticals, Inc. (DUSA), a subsidiary of Sun Pharmaceutical Industries, Inc. (Sun Pharma), has agreed to pay the United States $20.75 million to resolve allegations that DUSA caused physicians to submit false claims to Medicare and the Federal Employee Health Benefit Program by knowingly promoting an administration process for the drug Levulan Kerastick that contradicted the product instructions approved by the U.S. Food and Drug Administration (FDA) and was unsupported by sufficient clinical evidence.
August 21, 2020; U.S. Attorney's Office, Southern District of Georgia: Government obtains more than $5 million in judgments to resolve healthcare fraud allegations against Georgia chiropractor, practice: Medicare provider falsely claimed reimbursement for hundreds of procedures misrepresented as surgery
BRUNSWICK, GA: A Brunswick, Ga. chiropractor and her medical practice have been ordered to pay more than $5 million to resolve a civil fraud complaint filed by the federal government.
August 21, 2020; U.S. Attorney's Office, Eastern District of New York: Former Queens Cardiologist Settles Civil Fraud Allegations: Ghanshyam Bhambhani to Pay $2 Million to Resolve Kickback and False Claims Allegations
Ghanshyam Bhambhani, a former Queens cardiologist, will pay a total of $2 million to settle civil claims that he paid kickbacks to other physicians for referrals of patients insured by Medicare, Medicaid and the Federal Employees' Health Benefits Program. Under the terms of the settlement, Bhambhani will pay the United States $1,370,294.50. In addition, he will pay the State of New York $629,705.50.
August 20, 2020; U.S. Attorney's Office; Northern District of Texas: NextHealth Marketer Charged in $60 Million Kickback Scheme
A pharmacy marketer who allegedly collected more than $60 million in illegal kickbacks has been charged with violating the federal Anti-Kickback Statute, Northern District of Texas First Assistant U.S. Attorney Prerak Shah announced today.
August 19, 2020; U.S. Attorney's Office, Northern District of West Virginia: West Virginia physician indicted for illegally distributing drugs
CLARKSBURG, WEST VIRGINIA - Dr. Felix Brizuela, Jr., a Pennsylvania physician operating offices in West Virginia, was indicted by a grand jury today on charges of illegally distributing controlled substances, U.S. Attorney Bill Powell announced.
August 19, 2020; U.S. Attorney's Office, Eastern District of New York: New York Hospice Provider Settles Civil Healthcare Fraud Allegations: Metropolitan Jewish Health System Hospice to Pay $5.2 Million
Metropolitan Jewish Health System Hospice and Palliative Care ("MJHS Hospice"), a New York nonprofit hospice provider, has agreed to pay the United States $4,850,000 to resolve civil allegations that it billed Medicare and Medicaid for services rendered to hospice patients at heightened levels of care for which the patients did not qualify, in violation of the False Claims Act, and has agreed to pay the State of New York $375,000.
August 19, 2020; U.S. Attorney's Office, Southern District of West Virginia: Wheelers Indicted for Conspiracy to Obstruct Justice
CHARLESTON, W.Va. - A federal grand jury has returned an indictment charging Julie Wheeler, 44, and her husband Rodney Wheeler, 48, both of Beaver, with conspiracy to obstruct justice, according to United States Attorney Mike Stuart.
August 18, 2020; U.S. Attorney's Office, District of Massachusetts: United States Files False Claims Act Complaint Against Drug Maker Teva Pharmaceuticals: Complaint alleges that Teva funneled hundreds of millions of dollars in kickbacks through co-pay foundations
BOSTON - The U.S. Attorney's Office has filed a complaint under the False Claims Act against Teva Pharmaceuticals USA, Inc., and Teva Neuroscience, Inc., the maker of Copaxone, a drug for multiple sclerosis (MS).
August 14, 2020; U.S. Attorney; Southern District of Ohio: Hamilton physician who was convicted at trial of illegally dealing opioids sentenced to 20 years in prison
CINCINNATI - Dr. Saad Sakkal, 72, was sentenced today in U.S. District Court to 240 months in prison for illegally distributing and dispensing controlled substances to multiple patients, including drugs that led to the death of one victim in 2016. Sakkal was practicing at Lindenwald Medical Association, Inc. in Hamilton.
August 14, 2020; U.S. Attorney; Southern District of Illinois: Metro East Dentist Sentenced to Prison For Health Care Fraud
A St. Louis-area dentist has been sentenced to prison for defrauding Illinois Medicaid out of hundreds of thousands of dollars over a period of several years. Dr. Yun Sup Kim, 49, of St. Louis, appeared this morning via videoconference at the federal courthouse in Benton, Illinois, and was sentenced to 12 months and one day in federal prison. Kim pled guilty to three counts of health care fraud back in February.
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 Piï¿½eiro-Ruscalleda, Dr. Alice Ruscalleda-Lebrï¿½n and Juan Josï¿½ 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.

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