‘Qui Tam Whistleblower’ Category

Adejare Ademefun, a durable medical equipment (DME) supplier in Los Angeles, has been sentenced to 30 months in prison for Medicare fraud. Mr. Ademefun submitted nearly $1 million in fraudulent claims to the Medicare program for expensive power wheelchairs. Following his prison term, Mr. Ademefun will serve three years supervised release. According to the Justice Department, he must also pay...

A whistleblower lawsuit, filed under the qui tam provisions of the False Claims Act, has led to a $5 million settlement between Texas-based ReadyOne Industries Inc. and the Justice Department. The whistleblower, Michael Ahumada, was a former employee of ReadyOne, previously the National Center for Employment of the Disabled (NCED).

Stolen identity refund fraud (SIRF) is an extremely serious crime that affects all taxpayers and can cause lingering harm for individuals whose identities are stolen. Three Alabama residents — Chiquanta and Terrence Davis and Laurekshia Blakely —pleaded guilty earlier this year to charges related to the SIRF scheme: Ms. Davis pleaded guilty to theft of public funds, aggravated identity...

The owner of Dallas-area Ultimate Care Home Health Services, Inc. has pleaded guilty to participating in a $374 million Medicare fraud scheme. Cyprian Akamnonu admitted that he worked with others to bill the Medicare program for medically unnecessary healthcare services that were not actually provided.

Bridgepoint Education Inc. is being investigated by the Department of Justice for suspected education fraud in the compensation of its admissions staff. The university operator allegedly compensated admissions staff based on successful admissions, according to Reuters.

Under...

Eulises Escalona, owner of the Miami-based Willsand Home Health Inc., will serve 10 years in prison for his part in a Medicare fraud scheme perpetrated between 2006 and 2009. Mr. Escalona and his co-conspirators submitted about $42 million in false claims to Medicare, and the Medicare program paid about $27 million on those fraudulent claims. Mr. Escalona was also ordered to pay $26.5...

Former FBI special agent Robert G. Lustyik has been indicted, along with two alleged co-conspirators, with participating in a scheme to obstruct a federal investigation into suspected defense contract fraud by one of the alleged conspirators. Mr. Lustyik was an active FBI agent at the time of the alleged conspiracy and has been accused of using his official position in service of the...

Raymond and Emelitza Arias, owners and operators of two clinics purportedly specializing in treatment of HIV and other conditions, have pleaded guilty to conspiracy to commit healthcare fraud, according to the Justice Department. The Medicare fraud scheme involved false claims for infusion therapy services through the two clinics: Carefirst Occupational & Rehabilitation Center Inc. and...

Recent whistleblower complaints reveal that Rhode Island-based CVS Caremark may have violated the terms of an $80 million settlement resolving allegations that the pharmacy chain engaged in a Medicaid fraud scheme. The pharmacy chain is accused of overbilling Medicaid, changing patients’ permissions without authorization, and even using blow dryers to remove mailing labels and resell...

Alabama resident Vernon Harrison has been indicted for conspiring to file false income tax claims, mail fraud, aggravated identity theft and embezzlement from the mail. According to the Justice Department, Mr. Harrison used his position as a U.S. Postal Service mail carrier to obtain debit cards that were sent to addressees on his Montgomery postal route.

Postal Worker Stole Debit...