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Perpetrators of $20 Million Medicare Fraud, Brought To Book

by Medindia Content Team on March 23, 2006 at 3:55 PM
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Perpetrators of  $20 Million Medicare Fraud, Brought To Book

Los Angeles: Five Fraudulent people were arrested after it became known that they had cheated the Medicare by more than $20 million in Medicare payments, for superfluous tests that were not mandated and hence was never conducted.

Federal prosecutors nailed Konstantin Grigoryan, 56, of Altadena, in charge of the illegal scheme from 1997 to 2005. He and four others are charged with the setting up of Medicare beneficiaries and introducing them to several doctor's and medical labs in L.A.

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The offices forwarded fraudulent claims for diagnostic tests, ultrasound exams and other services, as per the statements made by the lodged criminal complaint. The complaint also pointed out that, nearly all the money that Medicare paid for the fraudulent claims between 2000 and 2005 was deposited into bank accounts of fraud management companies.

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