Two Physicians Charged in Alleged Medicare Fraud Scheme in Los Angeles

Federal and state authorities have arrested 10 defendants — including two physicians — who are named in a federal indictment that alleges members of a drug trafficking organization illegally obtained and distributed prescription pills obtained largely through Medicare fraud, according to a news release from the United States Attorney’s Office Central District of California.

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The alleged drug distribution ring was run out of Lake Medical Group in Los Angeles from Aug. 2008-Feb. 2010. During this time, Eleanore Santiago, MD, and Morris Halfon, MD, allegedly knowingly wrote OxyContin prescriptions for Medicare, Medi-Cal and uninsured patients who did not need the powerful painkiller.

The OxyContin was allegedly later obtained from pharmacies and resold on the street for profit. The indictment alleges that during this time, Medicare Part D and Medicare prescription drug programs paid more than $2.7 million for OxyContin prescriptions generated by the clinic and its physicians.

The clinic and its physicians are also accused of fraudulently billing Medicare approximately $4.6 million and Medi-Cal approximately $1.6 for alleged medical services that were either not performed or were unnecessary.

Related Articles on Medicare Fraud:

Boston Scientific’s Guidant to Pay $9.25M to Settle Claims of Inflated Pacemaker Costs
N.Y. Podiatrist Will Pay $800k to Settle False Claims Charges
New Orleans’ Dr. Anthony Jase Charged in $280k Medicare Fraud Scheme

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