Day Pitney's December 2017
White Collar Roundup included the following item:
Guilty Pleas Abound in Medicare and Medicaid Fraud
Prosecution
Joon H. Kim, the Acting U.S. Attorney for the Southern District of
New York, reported that a doctor and four executives
pleaded guilty to a $30 million scheme to defraud Medicare and
Medicaid. The alleged scheme involved the operation of fraudulent
clinics and a related ambulette company. As part of the scheme, the
defendants paid cash kickbacks to elderly patients who were insured
by Medicare or Medicaid and then billed those government payors for
unnecessary medical services, tests, and supplies. As Kim said,
"These five defendants bilked Medicare and Medicaid out of
millions of dollars for unjustified medications, procedures, and
supplies. Medicare and Medicaid were established to assist the
elderly and economically disadvantaged, not to serve as cash cows
for corrupt professionals." Kim noted that five additional
defendants remain under indictment and are scheduled to go to trial
before U.S. District Judge Lorna G. Schofield on April 23,
2018.
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