Friday, February 05, 2010

U.S. Will Collect $10 Million from Former Los Angeles Medical Center Owners for False Claims Scheme

The United States will receive $10 million from a Los Angeles businessman and a physician for a Medicare and Medi-Cal fraud scheme. The consent judgment will resolve a civil lawsuit filed against the two individuals who formerly owned the Los Angeles City of Angels Medical Center.

The scheme involved paying ‘recruiters,’ who were employed at homeless shelters in the city, to send homeless individuals to the City of Angels Medical Center to receive unnecessary medical treatments. Medicare and Medi-Cal were then billed for the services.

The defendants, Robert Bourseau and Dr. Rudra Sabaratnam, also pleaded guilty to violating the Anti-Kickback Statute and are currently awaiting sentence. Two recruiters involved in the scheme, and a former executive of the medical center, have also pleaded guilty.

The case was filed by the United States and the State of California in the U.S. District Court for the Central District of California.

Click here for the full article, “Former Los Angeles Medical Center Owners Agree to $10 Million Consent Judgment For Medicare and Medi-Cal Fraud Scheme"

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