Huge Medicare Scheme Uncovered, Dozens Arrested
Members of a crime ring based in New York and Los Angeles have been arrested for defrauding Medicare, according to The Wall Street Journal. It is the largest Medicare fraud operation in history.
The crime ring defrauded over $35 million from Medicare, starting in 2006. They submitted $100 million in fake bills, but only received $35.7 million in payments. Experts say Medicare has been especially vulnerable to fraud, although improvements have been made.
The criminals used doctor and patient identities to set up dozens of fake clinics across the country that were nothing more than post office boxes. The organization also stole the identities of these doctors and patients, including over 2,000 from a medical center in northern New York. Separate from this white collar crime, members of the group staged car accidents in order to submit claims to insurance companies.
The man behind the operation was a high-level organized crime figure from the former Soviet Union, arrested in Los Angeles. A total of 44 people were charged, although three remain at large. Most were members of a group from Armenia, but some of those arrested were doctors, lawyers and patients. Charges include health-care fraud, racketeering, identity theft, bank fraud and money laundering.
If you have been charged with a white collar crime in Los Angeles, contact Lawrence Wolf. As a skilled Los Angeles criminal defense attorney, Mr. Wolf will help you find the best possible defense for your case. To ensure that your rights are protected, call today at (310) 277-1707for a free consultation.
