Oct. 2, 2023

Two Anne Arundel County Men, Including Department of Defense Deputy Chief, Charged with Facilitating Dog Fighting Ring

A federal criminal complaint has been filed charging Frederick Douglass Moorefield, Jr., age 62, of Arnold, Maryland, and Mario Damon Flythe, age 49, of Glen Burnie, Maryland with promoting and furthering animal fighting venture. The criminal complaint was filed on September 21, 2023, and was unsealed at the defendants' initial appearances on September 28, 2023. At their initial appearance, U.S. Magistrate Judge J. Mark Coulson ordered that the defendants be released pending trial under the supervision of U.S. Pretrial Services.

Sept. 30, 2023

United States Settles Kickback Allegations with Specialty Pharmacy BioTek reMEDys, Inc., its Owner Chaitanya Gadde, and Dr. David Tabby

United States Attorney Jacqueline C. Romero announced today that BioTek reMEDys, Inc. ("BioTek"), located in New Castle, Delaware, and its Chief Executive Officer, Chaitanya Gadde, have agreed to pay $20 million based on BioTek's ability to pay to resolve allegations that they violated the False Claims Act and the Anti-Kickback Statute by paying kickbacks to patients in the form of routinely waived copayments and to physicians in exchange for providing patient referrals to BioTek.

Sept. 29, 2023

Behavioral Services Healthcare Provider and its Owner Settle False Claims Act Allegations

Connex Family Services, LLC (Connex), located in Warrenton, and Bianca Riddle, 33, a resident of Gloucester, have agreed to pay $918,000 to settle a civil fraud case that claimed Connex and Riddle submitted or caused false claims to be submitted to Medicaid and TRICARE. The government alleged that Connex and Riddle submitted claims to TRICARE and Medicaid for applied behavioral analysis services that were not provided during the period from March 1, 2019, through November 13, 2021. Connex's behavioral analysis services are provided to children who have been diagnosed with Autism Spectrum Disorder and other related disorders.

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.