White Collar Crime Report: Index-Summary

MADOFF FRAUD

– Audit improprieties, Madoff's accountant charged (S.D.N.Y.), 203; not guilty plea, 517
– Chief financial officer for Madoff firm pleads guilty (S.D.N.Y.), 546
– Detention to prevent dissipation of assets denied (S.D.N.Y.), 30; guilty plea entered, 165; revocation of bail upheld (2d Cir.), 221; sentencing postponed (S.D.N.Y.), 364; sentencing, 441; defense lawyer says sentence will not be appealed, 497
– Restitution to investors impracticable, DOJ says, 680
– SEC enforcement failures, inspector general audit report published, 641; 3 more reports will be issued, 682; 2 reports issued with recommended reforms, 715
– Transferring client funds to Madoff, financier Merkin charged with fraud (N.Y. Sup. Ct.), 240
– United Kingdom, Serious Fraud Office opens investigation, 43
– Victims' e-mails to court, removal of personal data required before disclosure to media (S.D.N.Y.), 495

MAIL FRAUD

– Innocent mailing of legitimate claims is sufficient “use of the mails” for conviction (5th Cir.), 71
– Life insurance, viatical fraud, federal statute applies to scheme to deceive unsophisticated investors (11th Cir.), 89
– Ponzi schemes

– – Hedge fund founder and manager charged (C.D. Cal.), 381; guilty plea entered, 589
– – Posing as investment adviser, defendant sentenced (N.D. Ga.), 251

– Public corruption

– – Courthouse construction, state legislator sentenced for defrauding state (D.N.M.), 215
– – Hospital regulatory board scheme, Ala. governor's convictions for honest services mail fraud reversed (11th Cir.), 255

MARKETING

See ADVERTISING

MARYLAND

– Consumer debt settlement firm owner jailed for ignoring court order to cease operations (Md. Cir. Ct.), 555

MASSACHUSETTS

– Boston “Big Dig” highway project

See BUILDING AND CONSTRUCTION

– Data security, amended rules issued for businesses, 609
– Honest services fraud, former state House speaker pleads not guilty to enabling procurements from state agencies to software firm (D. Mass.), 413
– Lobbying, governor signs ethics reform bill, 502

MEDICAID

– Ambulance service owners sentenced for billing fraud (S.D. Tex.), 360
– Cardiologist sentenced for billing fraud (S.D. Tex.), 670
– Dentist pleads not guilty to billing fraud (S.D. Tex.), 206
– DOJ, HHS launch joint initiative to fight fraud, 393
– Drugmaker Aventis settles charges of misreporting nasal spray prices, 426
– Drugs, billing fraud

See DRUGS

– Durable medical equipment, billing fraud

– – Adult urinary incompetence supplies, firm owner pleads guilty (S.D. Tex.), 415; sentencing, 709
– – Bulky wheelchairs billed to insurance while lightweight chairs provided, supply firm owner and employee sentenced (W.D. Va.), 325
– – Diagnostic rules for motorized wheelchair recipients, supply firm owner convicted for evading (E.D. Tex.), 214
– – Heating system, mattress, and lumbar support supply firm owners convicted (S.D. Tex.), 320
– – Prison sentence issued for firm owner who filed false claims for power wheelchairs (S.D. Tex.), 556

– Family practice physician and wife indicted for filing false claims (E.D. Mo.), 480
– Home health care

– – Doctors and nurse plead guilty to fraud (E.D. Mo.), 176; sentencing, 390
– – Enhanced sentence for abusing position of trust may be imposed in billing fraud case (8th Cir.), 560
– – N.J. agency co-owners sentenced for billing fraud (N.J. Super. Ct.), 140
– – Reimbursements sought while incarcerated, worker pleads guilty to billing fraud (E.D. Mo.), 415
– – Skilled nursing services provider sentenced for fraud (S.D. Ohio), 139
– – South Fla. to be target of federal and state fraud investigation, 189

– Homeless people recruited for unnecessary procedures, hospital co-owner indicted for billing fraud (C.D. Cal.), 91; hospital executive pleads guilty to paying kickbacks to recruiters, 208; hospital co-owner pleads guilty, 414
– Inflated expenditure data used to avoid returning unspent funds, WellCare enters deferred prosecution pact (M.D. Fla.), 331
– Nursing service owner sentenced for billing fraud (Alaska Super. Ct.), 596
– Pain management facilities

– – Clinic operator pleads guilty to billing fraud (E.D. Tex.), 415
– – Doctor and assistant charged with false billing for illegally prescribed narcotics (Ariz. Super. Ct.), 515

– Personal care services workers and mother of beneficiaries convicted of billing fraud (E.D. La.), 668
– Physical therapy clinic owner indicted for billing for services that were never performed (S.D. Tex.), 479
– Podiatrists, billing fraud

– – Guilty plea entered (E.D. Mo.), 214; sentencing, 672
– – Indictment issued (S.D. Tex.), 663

– Psychiatrist sentenced for billing fraud (E.D. La.), 69; criminal charges reinstated for failure to maintain clinical trial records (5th Cir.), 144
– Rural health clinic and physician plead guilty to billing for noncovered services (S.D. Ill.), 248
– Surgeon and lymphatic disorder clinic indicted for billing fraud (N.J. Super. Ct.), 516
– Unlicensed providers caring for disabled patients, 42 defendants indicted for billing fraud (C.D. Cal.), 479

MEDICAL CARE

See HEALTH CARE

MEDICAL DEVICES

– Industry faces different issues from pharmaceutical industry, prosecutors say, 431
– Kickbacks to doctors

– – Nerve conductor testing device, firm enters into deferred prosecution agreement, 107
– – Orthopedic implant makers, conspiracy complaints dismissed, federal monitoring ended (D.N.J.), 260

– Manufacturers, avoiding criminal liability, Analysis and Perspective, 684
– Misbranded devices

– – Bone cements, device firm executives plead guilty over unauthorized clinical trials (E.D. Pa.), 521
– – Bone growth products, company manager pleads guilty to distribution of (D. Mass.), 136; territory manager pleads guilty, 284
– – Hormone level test kits, clinical lab operator settles criminal and civil charges (E.D.N.Y.), 282
– – Lyme disease, microscope capable of diagnosing, indictment returned (D. Kan.), 662
– – Pre-filled syringes not tested for sterility, 2 workers sentenced (E.D.N.C.), 138; company and president indicted, 138

MEDICAL RECORDS

– Clinical investigator may be prosecuted for noncompliance with FDA record requirements (5th Cir.), 144
– Medicare fraud

– – Obstruction of probe, home health care agency owner sentenced for falsifying records (W.D. La.), 453
– – Stolen patient data used in filing false claims, medical equipment firm owner sentenced (S.D. Fla.), 68

– Privacy violations

– – Accessing patient records out of curiosity, doctor and hospital employees plead guilty (E.D. Ark.), 520
– – Identity theft, hospital employee charged with stealing patient records for credit card scheme (S.D. Fla.), 380
– – Sale of patient data stolen by hospital technician, indictment issued (S.D. Fla.), 545

MEDICARE

– AIDS, billing fraud by infusion therapy clinics

See AIDS AND HIV

– Ambulance service owners sentenced for billing fraud (S.D. Tex.), 360
– Cardiologists, billing fraud

– – La. doctor convicted (W.D. La.), 35; sentencing, 452
– – Tex. doctor sentenced (S.D. Tex.), 670

– DOJ, HHS launch joint initiative to fight fraud, 393
– Dermatologist sentenced for obstructing billing fraud probe (D. Mass.), 68
– Diagnostic radiology group, indictments issued for fraudulent billing of nerve testing (D.P.R.), 171
– Drugs, billing fraud

See DRUGS

– Durable medical equipment, billing fraud

– – Banker sentenced for laundering proceeds of scheme (S.D. Fla.), 14
– – Beneficiary and doctor data obtained illegally, 3 defendants indicted (S.D. Fla.), 279
– – Heating system, mattress, and lumbar support supply firm owners convicted (S.D. Tex.), 320
– – Knowledge of another firm owner's fraud is not basis to enhance convicted owner's sentence (5th Cir.), 73
– – Los Angeles firms' CEOs indicted (C.D. Cal.), 29
– – Mattress supply firm owner and salesmen sentenced (S.D.W. Va.), 140
– – Miami firm owner convicted (S.D. Fla.), 552
– – Motorcycle mechanic sentenced (S.D. Fla.), 137; company owner sentenced, 708
– – Owner of firm pleads guilty (S.D. Fla.), 136
– – Physician assistant convicted of prescribing unnecessary supplies without physician approval (C.D. Cal.), 486
– – Physician provider numbers used without permission, supply firm owners indicted (S.D. Fla.), 479; one owner pleads guilty, 591
– – Stolen patient data used in filing fraudulent claims, firm owner sentenced (S.D. Fla.), 68
– – Supply company owner sentenced (S.D. Fla.), 251
– – Ventilators and other equipment not provided to patients, owner of firm sentenced (M.D. Fla.), 181
– – Wheelchairs

See Wheelchairs, billing fraud, this heading

– Family practice physician and wife indicted for filing false claims (E.D. Mo.), 480
– Home health care fraud

– – Doctors and nurse plead guilty (E.D. Mo.), 176; sentencing, 390
– – False identity used to obtain provider number, agency owner sentenced (N.D. Tex.), 139
– – Records falsified, agency owner sentenced for obstruction (W.D. La.), 453
– – Sentencing, judge unable to set aside prior beliefs about merits of prosecution so case remanded and reassigned (11th Cir.), 459

– Homeless people recruited for unnecessary procedures, hospital co-owner indicted for billing fraud (C.D. Cal.), 91; hospital executive pleads guilty to paying kickbacks to recruiters, 208; hospital co-owner pleads guilty, 414
– Infusion and therapy clinic owners and operators indicted for paying Medicare beneficiaries kickbacks for allowing providers to submit false forms in their names (E.D. Mich.), 464; 2 defendants plead guilty, 592; clinic manager pleads guilty, 632
– Nursing facility owner convicted of fraud raised cognizable claim of ineffective assistance of counsel (N.D. Cal.), 262
– Pain management facilities

– – Clinic operator pleads guilty to billing fraud (E.D. Tex.), 415
– – Doctor and assistant charged with false billings for illegally prescribed narcotics (Ariz. Super. Ct.), 515

– Physical therapy

– – Clinic owner indicted for billing for services that were never performed (S.D. Tex.), 479
– – Therapist pleads guilty to billing fraud (E.D. Mich.), 632

– Physician identification numbers, amount paid on claims submitted with invalid or inactive numbers, HHS inspector general report, 152
– Podiatrists, billing fraud

– – Guilty plea entered (E.D. Mo.), 214; sentencing, 672
– – Indictment issued (S.D. Tex.), 663
– – Obstruction of billing audit, doctor sentenced (E.D. Mo.), 454

– “Professional patients,” more beneficiaries engaging in fraud, says CMS official, 759
– Program integrity contractors to make referrals to DOJ, agency official says, 338
– Psychiatric center, CEO and physician convicted of paying for patient referrals (N.D. Ill.), 487
– Psychiatrist sentenced for billing fraud (E.D. La.), 69; criminal charges reinstated for failure to maintain clinical trial records (5th Cir.), 144
– Rehabilitation facilities owner pleads guilty to billing fraud (E.D. Mich.), 704
– Respiratory treatment billing fraud, jury improperly instructed on willful violation by physician (9th Cir.), 145
– Rural health clinic and physician plead guilty to billing for noncovered services (S.D. Ill.), 248
– Surgeon and lymphatic disorder clinic indicted for billing fraud (N.J. Super. Ct.), 516
– Wheelchairs, billing fraud

– – Bulky wheelchairs billed to insurance while lightweight chairs provided, supply firm owner and employee sentenced (W.D. Va.), 325
– – Diagnostic rules for motorized wheelchair recipients, supply firm owner convicted for evading (E.D. Tex.), 214
– – Kickbacks paid for patient data used to file false claims for power wheelchairs, defendant sentenced (N.D. Tex.), 138
– – Prison sentence issued for firm owner who filed false claims for power wheelchairs (S.D. Tex.), 556
– – Unnecessary power wheelchairs, supply firm owners convicted for billing for (C.D. Cal.), 522

MEETINGS

See CONFERENCES AND MEETINGS

MERGERS AND ACQUISITIONS

– Bank of America/Merrill Lynch merger under investigation

– – House committee request for voluntary waiver of attorney-client privilege, bank lawyers urge reconsideration, 678; Bank of America to provide documents, 718; documents released, 751
– – N.Y. attorney general says advice-of-counsel defense waives privilege, 646

– Insider trading, Intl. Securities Exchange board member sentenced for misusing information obtained during merger discussions (S.D.N.Y.), 13

MILITARY PERSONNEL

See ARMED SERVICES

MINING

– Asbestos, W.R. Grace operations, knowing endangerment of town residents, criminal trial to begin (D. Mont.), 62; opening statements presented, 149; government expert's opinion testimony limited, 259; charges dismissed against 2 executives, 316; firm and 3 executives acquitted, 354; charges dismissed against last defendant, 414
– Coal

– – Fatal mine fire, company pleads guilty (S.D.W. Va.), 66
– – Lobbying firm working for coal energy association sent forged letters to members of Congress on pending climate change legislation, 566; Markey (D-Mass) releases 5 more forged letters sent to members of Congress, 605

– Sale of mineral rights to investors, head of investment firm pleads guilty to fraud scheme (E.D. Mo.), 482; sentencing, 671

MISSISSIPPI

– Receiving money under false pretenses, LLC is victimized “person” under state law (Miss.), 245

MISSOURI

– Campaign finance violations, 2 state legislators plead guilty after DOJ reopened case dismissed earlier by FEC (E.D. Mo.), 587

MONEY LAUNDERING

– Attorney pleads not guilty to laundering funds for client (N.D. Cal.), 31
– Cash transactions, financier charged with illegally structuring to avoid reporting rules (C.D. Cal.), 311
– Conspiracy, limitations period extended by failure to report income on tax returns (1st Cir.), 217
– Electronics retailer executive indicted for secret scheme with vendors (N.D. Cal.), 29
– Former Or. congressman indicted for securities fraud (C.D. Cal.), 130
– Gambling proceeds from internet scheme, payment processing firm operator indicted (S.D.N.Y.), 544
– Identity theft scheme involving foreign bank account holders, defendant pleads guilty (M.D. Fla.), 176
– Lloyds TSB Bank to pay fine for covering up illegal transactions by Iranian and Sudanese clients (D.D.C.), 42
– Medicare fraud, durable medical equipment

– – Banker sentenced for laundering proceeds from billing scheme (S.D. Fla.), 14
– – Sham firm incorporated for laundering purposes, 3 defendants indicted (S.D. Fla.), 279

– N.J. mayors and rabbis among 44 charged in bribery and laundering scheme (D.N.J.), 515
– Pharmacies

– – General operating accounts used in scheme to distribute narcotics, pharmacists' convictions upheld (5th Cir.), 5
– – Owner of pharmacy pleads guilty to Medicare billing fraud, laundering (S.D. Fla.), 387

– Proceeds

– – Definition of “proceeds” means profits when predicate offense creates merger problem that radically increases sentence (6th Cir.), 673
– – Revised definition

See LEGISLATION, FEDERAL, S 386

– Taxes, owner of qualified intermediary company convicted of scheme to defraud clients (E.D. Va.), 207; owner sentenced, 553
– Telemarketing scheme, Brazilian national convicted of laundering proceeds (S.D. Fla.), 175

MORTGAGE FRAUD

– Accounting irregularities, Colonial BancGroup announces it is subject of federal investigation, 606
– Bank officer's scheme, home buyers who paid higher brokerage fees are “victims” under Crime Victims' Rights Act (11th Cir.), 16
– Connecticut, federal task force established to investigate and prosecute, 606
– Corporate Fraud Task Force expanded to deal with prosecutions, 46
– Crackdown urged by FDIC chief, 187
– Distressed residential properties targeted, mortgage firm and individuals charged with stealing from lenders (N.Y. Sup. Ct.), 478
– Falsified documents used to secure loans, mortgage broker's enhanced sentence for abuse of trust upheld (8th Cir.), 218
– Federal and state officials launch joint effort to combat, 293
– Federal Housing Admin. vulnerable to fraud due to increase in loan volume and new lenders, HUD inspector general says, 466
– Foreclosure rescue scheme directed at homeowners, operators sentenced for fraud (S.D.N.Y.), 524
– Identity theft, defendant sentenced for obtaining home equity lines of credit using stolen account data (E.D. Va.), 670
– Loan officer sentenced for role in false applications scheme (D. Colo.), 557
– Private mortgage firms as “financial institutions” for fraud liability

See LEGISLATION, FEDERAL, S 386

– Real estate broker convicted (Colo. Dist. Ct.), 482; sentencing, 669
– Seller of highly encumbered property indicted for deceiving buyer (S.D.N.Y.), 584
– Sentencing Guidelines, factors in wake of financial crisis, Analysis and Perspective, 298
– Straw buyers used to secure loans, seven defendants charged (W.D. Wash.), 241

MOTOR VEHICLES

– Accident victims, insurance fraud

– – Chiropractic clinic owner pleads guilty (S.D. Fla.), 320; sentencing, 523
– – Medical billing firm owner pleads guilty (D.N.J.), 486

– Ambulance service owners sentenced for Medicare and Medicaid billing fraud (S.D. Tex.), 360
– Emergency vehicles, government contracts, vendor employees sentenced for kickback scheme (M.D. Fla.), 98
– School bus companies, transit union officials plead guilty to extortion scheme (S.D.N.Y.), 667