BOSTON – James Rausch, a 57-year-old New York-based director of operations and sales for the Northeast region of a mobile medical diagnostics company, pleaded guilty in federal court in Boston on June 14, 2025, to conspiring to offer and pay kickbacks to doctors in exchange for ordering medically unnecessary brain scans.
According to the Massachusetts Department of Justice, Rausch, from Port Jefferson Station, N.Y., admitted to one count of conspiracy to violate the anti-kickback statute. U.S. District Court Judge Nathaniel M. Gorton set sentencing for July 10, 2025. The charges were filed in May 2025.
Between March 2015 and September 2020, Rausch allegedly collaborated with others, including two managers at a mobile medical diagnostics company conducting transcranial doppler (TCD) scans, which measure blood flow in the brain. The group arranged kickback agreements with doctors, paying them in cash or by check based on the number of TCD ultrasounds ordered. To conceal the payments, Rausch and his co-conspirators created sham rental and administrative service agreements, falsely suggesting doctors were paid for the use of office space or administrative resources at fair market value, rather than for the volume of referrals…