On the heels of a previous pill-mill bust in Los Angeles, federal authorities have made 16 more arrests after raiding pharmacies and alleging a large-scale Medicare fraud scheme, The Associated Press reports.
As the Los Angeles Criminal Defense Lawyer Blog reported recently, federal authorities broke up what they are calling a pill-mill operation where 1 million OxyContin pills were sold for $23 to $27 per pill, and people's identities and Medicare beneficiary information were stolen.
Cases of insurance fraud in Los Angeles can be complex to prove if there is an accused large network of co-conspirators. In cases like this, the prosecution must be able to show that every person accused as part of the alleged conspiracy intended to participate in the illegal action -- from the ringleaders on down.
But charges of insurance fraud can carry serious penalties, whether charged in state court or federal court. Los Angeles criminal defense lawyers are prepared to handle charges of fraud and drug crimes in Los Angeles as these pill-mill investigations continue to pop up.
In this case, Manor Medical Imaging Clinic of Glendale is at the center of the dispute. According to a federal complaint, a doctor there wrote prescriptions for anti-psychotic drugs including Seroquel, Abilify and Zyprexa. They were billed to Medicare and Medi-Cal, but authorities allege the drugs didn't go to the beneficiaries. Instead, they were sold on the black market and sent to San Gabriel Valley, where pharmacists repackaged and resold them.
Authorities allege that some Medicare beneficiaries had their identities stolen, which led to them not being able to get the drugs they needed later on. Targeted in the alleged scam were the homeless, veterans, the poor and the elderly. The main pharmacy alleged in the case is Huntington Pharmacy in San Marino. Court documents state the pharmacy had $45,000 in Medi-Cal claims in 2009, but that spiked to $1.5 million in 2010.
According to the news article, those charged with conspiracy to commit healthcare fraud could face up to 30 years in prison, if convicted.
As prescription drug fraud and insurance fraud has become more and more popular, these investigations have increased as well. That means that there will likely be more indictments, more large-scale "busts" and trials of those charged.
Pharmacists, doctors and others in the medical industry are facing a challenge right now as federal investigators look at everything they do. Even a small mistake could lead to very serious charges. And while it may appear to the public that every person charged is guilty, that's simply not the case. A federal complaint can have big words and be written very convincingly, but until the case gets to trial, these defendants are innocent until proven guilty.
To show that each person was responsible for the fraud is a challenge, as is proving that every person was part of a scheme and not simply doing what bosses instructed them to do. And in many of these cases, one co-defendant may not have ever met or spoken with another co-defendant or know who they were.
What may appear as a well-formed scheme from the outside may not be as connected and intertwined as believed by the government. That's why these defendants require a fair trial to sort out all the facts and with the help of an experienced Los Angeles criminal defense lawyer, they can get that.
If you need to speak with a Los Angeles criminal defense attorney, contact the Law Offices of Stephen G. Rodriguez and Associates at 213-223-2173 for a free consultation.
More Blog Entries:
OxyContin Insurance Fraud Scheme Alleged in Los Angeles: October 26, 2011
