Austin Texas Legal Issues Blog

The Northern District of Texas’ Healthcare Fraud Strike Force has gathered evidence that led to the arrest of a Texas woman. The agency has accused the woman of healthcare fraud. If the government can support these accusations the woman could face a monetary fine of $250,000 and up to 10 years imprisonment.

It sounds like a dream job. A job that involves the review of some paperwork, a signature and a pay check for $400 per week. This type of job could serve as a transition between full-time work and retirement. Unfortunately for one physician that took the job, instead of helping him ease into retirement it may ease him into jail.

The issue began when a friend, a physician’s assistant, informed the former Emergency Department doctor about the position. The government claims the position was part of a complicated health care fraud scheme and built a case against the doctor.

The United States Attorney's Office for the Southern District of Texas announced in a recent publication the conviction of a CEO of a physical therapy business. The office succeeded in the conviction of the CEO for conspiracy, health care fraud, wire fraud and money laundering. Various government agencies worked together to gather evidence to support the charges against the CEO. This included agencies ranging from the United States Postal Service to the United States Department of Homeland Security and United States Department of Labor.

These agencies claim the CEO submitted claims for services patients never received. Examples of alleged services not provided included one-on-one physical therapy sessions. Instead, the agencies accuse the physical therapy business of having patients exercise independently on treadmills and other exercise machines while billing for the more individualized services.

The 65-year-old physician's history with the Texas Medical Board goes all the way back to 1990. The Fort Worth doctor has been disciplined more than once for "inappropriate prescribing practices," a recent news report stated.

He is under a Texas Medical Board supervision order and has also agreed not to practice under the workers' compensation program. Last year, the Drug Enforcement Administration raided his office and seized nearly $700,000.