Sept. 29, 2023

San Antonio Business Owner and Associates Arrested for Defrauding SBA Program

A Converse man and six alleged co-conspirators were arrested this week on criminal charges related to their alleged conspiracy to commit wire fraud. According to court documents Aaron Sams, 39, owns and operates Sams Contracting Consulting and Training LLC. The indictment alleges he used his business to advertise and market a service to historically underutilized business zone (HUBZone) companies. HUBZone is a Small Business Administration (SBA) program designed to provide federal contracting assistance for qualified small businesses to increase employment opportunities, investment and economic development in such areas. The program gives preferences in government contracting to businesses that qualify as a HUBZone small business.

Sept. 29, 2023

South Carolina Physician and Nephrology Practice Agree to Pay Over $585,000 to Settle Laboratory Kickback Allegations

Moustafa Moustafa, M.D. and his medical practice, South Carolina Nephrology and Hypertension Center Inc., of Orangeburg and Bamberg, South Carolina, have agreed to pay $585,540 to resolve False Claims Act allegations that they received illegal kickbacks in violation of the Anti-Kickback Statute in return for referring patients for laboratory testing. Dr. Moustafa and his practice have agreed to cooperate with the Justice Department's investigations of, and litigation against, other participants in the alleged kickback schemes.

Sept. 28, 2023

Orange County Doctor of Osteopathy Indicted in Quarter Billion Dollar Fraud Targeting Pandemic Program for Uninsured Patients

A federal grand jury has charged a doctor who operated clinics in Westminster and Garden Grove with defrauding a COVID-19 program for uninsured patients by submitting more than a quarter billion dollars in claims-ultimately receiving about $150 million in payments-for services not covered under the program or simply not provided, the Justice Department announced today. Anthony Hao Dinh, 64, of Newport Coast-a licensed doctor of osteopathy who was an ear, nose and throat specialist, as well as a facial plastic surgeon -was charged Wednesday in an 18-count indictment with defrauding the Health Resources and Services Administration (HRSA) COVID-19 Uninsured Program.

Sept. 28, 2023

The Boeing Company to Pay $8.1 Million to Resolve False Claims Act Allegations

The Boeing Company, headquartered in Arlington, Virginia, has agreed to pay $8,100,000 to resolve allegations that it violated the False Claims Act by submitting false claims and making false statements in connection with contracts with the U.S. Navy to manufacture the V-22 Osprey, a tiltrotor military aircraft. The settlement announced today resolves allegations that from approximately 2007 through 2018, Boeing failed to comply with certain contractual manufacturing specifications in fabricating composite components for the V-22 at its facility in Ridley Park, Pennsylvania. Specifically, the government contends that Boeing failed to perform required monthly testing on autoclaves used in the composite cure process and was not in compliance with additional requirements related to the testing.

Sept. 27, 2023

Owner of Telemedicine Companies Pleads Guilty to $44 Million Medicare Fraud Scheme

The owner of Conclave Media (Conclave) and Nationwide Health Advocates (Nationwide) pleaded guilty today in connection with a $44 million telemedicine fraud scheme involving medically unnecessary durable medical equipment (DME), including orthotics such as back and knee braces, and genetic tests. David Santana, 38, of Reading, Mass. pleaded guilty to one count of conspiracy to commit health care fraud. U.S. District Court Judge Angel Kelley scheduled sentencing for Feb. 7, 2024. Santana was charged in July 2023.

Sept. 26, 2023

Charlotte Doctor Is Found Guilty Of Making False Statements In Connection With $5 Million Durable Medical Equipment Scheme

A federal jury has returned a guilty verdict against a Charlotte physician for her role in a durable medical equipment (DME) scheme that defrauded federal benefits programs of more than $5 million, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Sudipta Mazumder, 47, of Charlotte, was convicted of six counts of making false statements relating to healthcare matters. U.S District Judge Max O. Cogburn Jr. presided over the trial.

Sept. 18, 2023

Pharmacy Operators and Pharmacist Charged with $33 Million Health Care Fraud, Wire Fraud, and Kickback Conspiracy

Two pharmacy executives and a pharmacist were arraigned today on charges of defrauding Medicare and TRICARE by submitting fraudulent claims for medically unnecessary prescriptions, Attorney for the United States Vikas Khanna announced. The pharmacy executives are also charged with paying and conspiring to pay illegal kickbacks.

Sept. 15, 2023

Navmar to Pay $4.4 Million to Settle False Claims Act Allegations Regarding Double-billing and Cost-Shifting

Navmar Applied Sciences Corporation (Navmar), headquartered in Pennsylvania, has agreed to pay $4.4 million to resolve allegations that it violated the False Claims Act by knowingly double billing and shifting certain labor and material costs under a series of contracts with the Department of the Navy (Navy) to manufacture, design and test emerging intelligence, surveillance and reconnaissance technologies.

Sept. 14, 2023

Laboratory Owner Sentenced to 36 Months in Federal Prison for Healthcare Kickback Scheme

United States Attorney Ronald C. Gathe, Jr. announced that Chief Judge Shelly D. Dick sentenced Terry Wilks Jr., age 41, of Greenwell Springs, Louisiana, to 36 months in federal prison following his conviction for conspiracy to pay and receive healthcare kickbacks. The Court further sentenced Wilks to serve two years of supervised release following his term of imprisonment ordered him to pay restitution in the amount of $5,017,861.03 and forfeit $447,249.52. Laboratory Sales Representative, Leslie McHugh, age 38, of Palmetto, Florida, was previously sentenced by Chief Judge Dick to 12 months and one day in federal prison for her involvement in the scheme. The Court further sentenced McHugh to serve two years of supervised release following her term of imprisonment.

Sept. 12, 2023

Frederick Medical Practice Pays the United States More Than $850,000 to Resolve Claims that it Inappropriately Billed for Medical Services

Frederick Oncology and Hematology Associates, P.C., a former medical practice located in Frederick, Maryland, have paid the United States $850,949 to settle allegations that Frederick Oncology and Hematology Associates, P.C. ("FOHA") submitted inappropriate claims to the United States for evaluation and management services.