National health care fraud investigation leads to charges in Ken - WDRB 41 Louisville News

National health care fraud investigation leads to charges in Kentucky and Indiana

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LOUISVILLE, Ky. (WDRB) -- Several Kentucky and Indiana medical providers are among hundreds of people arrested and charged as part of a sweeping health care fraud "takedown" announced Thursday. 

The U.S. Justice Department announced charges against more than 400 people as part of opioid scams, money laundering and other schemes that resulted in losses estimated at $1.3 billion.

Federal, state and local officials revealed charges and arrests in four separate cases involving physicians and alleged medical practitioners in the Louisville area and Southern Indiana.  

"Private and public payers -- like Medicare, Medicaid and your own private health insurance company -- are the ones experiencing the losses directly," John E. Kuhn Jr., U.S. Attorney for Kentucky's Western District, said at a news conference. "But make no mistake: Health care fraud is costing each and every one of us in the form of significantly higher health insurance premiums and more tax dollars required for public health programs." 

Kuhn wasn't able to immediately provide an estimate of the total losses due to alleged fraud in the four local cases, saying that information would likely be made public as the cases proceed.

The charges including illegally distributing opioids and other controlled substances, identity theft, money laundering and billing for unnecessary treatments. 

Among the local facilities named in the indictments are J.M. Autism, also known as Total Spectrum in New Albany, and Physicians Primary Care in Jeffersonville.

WDRB cameras were at the Jeffersonville office in 2014 when investigators from several agencies, including the Medicaid Fraud Control Unit, executed search warrants.

Kuhn was joined by representatives from the offices of Kentucky Attorney General Andy Beshear and Indiana Attorney General Curtis Hill; Louisville's FBI Special Agent in Charge Amy Hess; and officials from the Louisville Metro Police Department, U.S. Postal Inspection Service, Drug Enforcement Agency and IRS Criminal Investigations. 

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