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July 21, 2021

Former U.S. Army Employee Pleads Guilty to Kickback Scheme to Steer U.S. Government Contracts

A former civilian employee of the U.S. Army's Directorate of Public Works pleaded guilty today for his role in a kickbacks scheme to steer government contracts for work at Camp Arifjan, a U.S. Army base in Kuwait. According to court documents, Ephraim Garcia, 64, admitted that he conspired with Gandhiraj Sankaralingam, aka Gandhi Raj, the former general manager and co-owner of Kuwait-based contracting company Gulf Link Venture Co. W.L.L. (Gulf Link), to steer government contracts to Gulf Link. In his position with the U.S. Army, Garcia was involved in the solicitation, award and management of certain government contracts related to facilities support at Camp Arifjan.

July 21, 2021

Former Supervisory Pharmacist of Defunct New England Compounding Center Resentenced in Connection with 2012 Fungal Meningitis Outbreak

The former supervisory pharmacist of the now-defunct New England Compounding Center (NECC) was resentenced today in federal court in Boston in connection with the 2012 nationwide fungal meningitis outbreak. The defendant was resentenced after the First Circuit Court of Appeals affirmed his criminal convictions but vacated his sentence and forfeiture order. Glenn Chin, 53, previously of Canton, was sentenced by U.S. District Court Judge Richard G. Stearns to 126 months in prison and three years of supervised release. Chin was also ordered to pay forfeiture of approximately $473,584 and restitution of $82 million.

July 21, 2021

Turkish National Indicted for Wire Fraud and Illegally Exporting Defense Articles to Turkey

A Turkish national was indicted today in Boston in connection with his scheme to illegally export defense technical data to foreign nationals in Turkey for the fraudulent manufacturing of various United States military parts, in violation of the Arms Export Control Act. The U.S. Department of Defense (DOD) later determined that some of the parts were substandard and unsuitable for use by the military. Arif Ugur, 52, formerly of Cambridge, Mass., was indicted on two counts of wire fraud, two counts of violating the Arms Export Control Act and one count of conspiring to violate the Arms Export Control Act. Ugur will make an initial appearance in federal court in Boston tomorrow before U.S. District Court Magistrate Judge Jennifer C. Boal.

July 20, 2021

Sage Consulting Group, Inc. Agrees to Pay $4.8 Million to Settle Civil False Claims Act and Anti-Kickback Act Allegations

A Virginia-based consulting group and its president and majority owner agreed to a $4.8 million settlement with respect to allegations that they paid kickbacks, announced Acting U.S. Attorney Raj Parekh for the Eastern District of Virginia.

July 20, 2021

Mississippi Pharmacist Pleads Guilty to More than $180-Million Health Care Fraud Scheme

A Mississippi pharmacist pleaded guilty today for his role in a multimillion-dollar scheme to defraud TRICARE and private insurance companies by paying kickbacks to distributors for the referral of medically unnecessary compounded prescription medications that were ultimately dispensed by his pharmacies. The conduct allegedly resulted in more than $180 million in fraudulent billings, including more than $50 million paid by federal healthcare programs.

July 8, 2021

St. Jude Agrees to Pay $27 Million for Allegedly Selling Defective Heart Devices

St. Jude Medical Inc. (St. Jude) has agreed to pay $27 million to settle allegations under the False Claims Act that, between November 2014 and October 2016, it knowingly sold defective heart devices to health care facilities that, in turn, implanted the devices into patients insured by federal health care programs. St. Jude was acquired by Abbott Laboratories in January 2017.

July 8, 2021

Fraudster Who Stole Protected Health Information to Fund Spending Spree Sentenced to Prison

A McKinney man has been sentenced to prison for federal violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei today.

July 7, 2021

Former Owner of Defunct New England Compounding Center Resentenced to 14 Years in Prison in Connection with 2012 Fungal Meningitis Outbreak

The former owner of the now-defunct New England Compounding Center (NECC) was resentenced today in federal court in Boston in connection with the 2012 nationwide fungal meningitis outbreak. The defendant was resentenced after the First Circuit Court of Appeals affirmed his criminal convictions but vacated his sentence and forfeiture order.

DCIS July 7, 2021

San Antonio Physician's Assistant Admits to Defrauding Medicaid and Medicare

Christopher Felix Montoya, a licensed Physician's Assistant and owner of TPC Family Care and Medical Clinics in San Antonio and Laredo, admitted to defrauding Medicaid, Medicare and TRICARE by fraudulent billing and receiving health care kickbacks.

July 6, 2021

AAR Corp. Agrees to Pay $11 Million to Settle False Claims Act Allegations on Aircraft Maintenance Contract and to Pay Penalties Assessed by the FAA

AAR Corp., located in Wood Dale, Illinois, and its subsidiary, AAR Airlift Group Inc. (Airlift), located in Melbourne, Florida, have agreed to pay the United States $11 ,088,000 to resolve False Claims Act allegations in connection with aircraft maintenance services performed by Airlift on two U.S. Transportation Command (TRANSCOM) contracts.