We use cookies to give you the best online experience. By using our website you agree to our use of cookies in accordance with our cookie policy. Learn more here.Close Me
The owner of a Long Island medical supply company was convicted
last week on charges of a $10.7 million Medicare fraud and wrongful
disclosure of private medical information under the Health
Insurance Portability and Accountability Act (HIPAA). (United
States v. Michel, E.D.N.Y., No. 07-cr-889-JFB, jury verdict
8/15/12).
Helene Michel, the owner of Medical Solutions Management, Inc.,
was charged with stealing patient records from nursing homes and
using the individually identifiable health information of patients
contained in those stolen records to transmit fraudulent claims to
Medicare for equipment and services that the company never
provided. Michel used the proceeds of the scheme, which was
carried out over the course of more than four years, to buy a $2.2
million home and to fund a pension plan and investment brokerage
account worth $2 million.
In the March 2012 indictment, prosecutors sought forfeiture of
over $1.2 million, in addition to the funds in the brokerage
account and other bank accounts. Michel faces a maximum
sentence of 10 years' imprisonment on each count, as well as
fines of up to $250,000 per count.
According to prosecutors, the case represents one of the first
criminal prosecutions in the United States for wrongful disclosure
of patient information under HIPAA, and their comments made in the
announcement of the verdict indicate that it
likely will not be the last.
U.S. Attorney Loretta E. Lynch called the verdict a
"warning to all that we will tenaciously investigate
violators, protect patient rights and vindicate the hard-earned
support taxpayers provide the Medicare program."
FBI Assistant Director-in-Charge Fedarcyk added to Lynch's
cautionary statement: "The defendant showed no regard for
patients' privacy rights when she stole their personal identity
information to file false medical claims. She padded her own
pockets at the expense of the Medicare kitty. The verdict today
should serve as a warning to those who disregard privacy laws to
defraud publicly funded programs meant to help our
seniors."
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
To print this article, all you need is to be registered on Mondaq.com.
Click to Login as an existing user or Register so you can print this article.
After a four-week retrial, a federal jury concluded on May 8, 2013 that Tuomey Healthcare System (Tuomey) violated both the Stark Law and the False Claims Act (FCA).
The Centers for Medicare & Medicaid Services (CMS) recently announced revisions to its State Operations Manual that change the complaint survey investigation process and typical timeline for resolution.
On May 21, 2013, the U.S. Department of Health and Human Services released details regarding a $400,000 settlement with Idaho State University for alleged violations of the HIPAA Security Rule.
On April 5, 2013, the Internal Revenue Service officially issued proposed regulations addressing the requirement under Section 501(r)(3) of the Internal Revenue Code that tax-exempt hospitals conduct community health needs assessments.
The U.S. Supreme Court heard oral arguments last month in the matter of Association for Molecular Pathology v. Myriad Genetics, a curious case that does not bode well for America’s biotechnology industry and could overturn 30 years of U.S. patent policy.
Earlier this month, the Lobbying and Advocacy Group’s Medicare Reimbursement and Health Policy Director, Anna Schwamlein Howard, partnered with Drinker Biddle attorneys Jeremy Shapiro-Barr and Douglas Swill on a client alert.
Recap Of Fenwick's 2013 Digital Health Investor Summit (Video Content)
