Additional Coverage:
- DOJ charges 193 people, including doctors and nurses, in $2.7B health care fraud schemes (newsbreak.com)
During a summit in Washington, the seal of the Justice Department was prominently displayed, as captured in a photo by Mark Wilson for Getty Images. In a significant crackdown on health care fraud, the Justice Department has revealed that nearly 200 individuals have been implicated in a series of schemes across the nation, leading to potential losses exceeding $2.7 billion.
The announcement came from Attorney General Merrick Garland who specified that the sweep included charges against 193 individuals, among them 76 doctors and various other health care professionals, across 32 federal jurisdictions. This comprehensive effort, which unfolded over the span of two weeks and involved a multitude of law enforcement agencies, resulted in the confiscation of assets worth over $231 million, including cash, high-end vehicles, and precious metals.
Garland emphasized the commitment of the Justice Department to pursue and prosecute those engaging in illegal activities, regardless of their professional status, especially those exploiting their positions for financial gain through the illegal distribution of controlled substances. The accused faced charges related to health care fraud, wire fraud, money laundering, and submitting fraudulent claims amounting to millions of dollars.
Among the notable cases was a $900 million fraudulent scheme in Arizona targeting the elderly and terminally ill, as well as charges against executives of a telehealth company for unauthorized distribution of medication, including Adderall. Additional charges related to health care fraud schemes included distributing compromised HIV medication, exploiting Native Americans through fraudulent treatment homes, and committing fraud in the distribution of opioids and through telemedicine.
Separately, the Centers for Medicare and Medicaid Services announced administrative actions against 127 medical providers suspected of fraudulent activities. Highlighting the exploitation during the COVID-19 pandemic, investigations also uncovered a scam involving unnecessary amniotic grafts applied to vulnerable patients, leading to charges against several individuals, including Alexandra Gehrke and Jeffrey King, who allegedly orchestrated a $900 million scam and received substantial illegal kickbacks.
Additionally, in Florida, three business owners were accused of engaging in a wire fraud scheme by selling misbranded and adulterated HIV drugs, leading to dangerous outcomes for patients who received incorrect medications. Moreover, individuals were charged in both Arizona and Florida for fraudulent billing practices targeting the homeless and Native American communities, aiming to exploit these vulnerable groups for profit in drug and alcohol treatment schemes.
This extensive operation underscores the ongoing battle against health care fraud and the commitment of federal agencies to protect citizens and the integrity of taxpayer-funded programs from fraudulent activities.