The sentencing of Virginia dentist, Dr. Roy S. Shelburne has been postponed due to a recent United States Supreme Court case relating to his conviction on money laundering.
A June 2 ruling by the U.S. Supreme Court regarding the federal statute for money laundering is the latest in a string of delays – ranging from a late-arriving transcript of the trial, to the defense attorney’s computer crashing at the 11th hour – to push back the sentencing.
On Monday, Judge James P. Jones of the U.S. Western District of Virginia said the high court’s split decision in United States v. Santos “may be significant” in sentencing Shelburne.
Jones called the decision “complicated,” and “something I need to study further.”
It is unclear what if any bearing the high court’s decision will have on the sentencing.
Shelburne was convicted on March 6 of racketeering, health care fraud and money laundering, and faces up to 120 years in prison and a $1.25 million fine.
Dr. Roy Shelburne remains on bail pending sentencing and continues to practice dentistry but on a “dramtically reduced” level.
The judge in the case did not set a trial date for sentencing on Monday. The defense hopes to argue for a new trial at the sentencing hearing.
Showing posts with label Department of Defense. Show all posts
Showing posts with label Department of Defense. Show all posts
Thursday, June 19, 2008
Support our Troops???? Oh yea!!!
Man gets 5 years for $100M Tricare fraud
By Ryan J. Foley - The Associated Press
Posted : Thursday Jun 19, 2008 7:33:55 EDT
MADISON, Wis. — A former health care executive was sentenced Tuesday to five years in prison for helping his Philippines-based company swindle nearly $100 million from the U.S. military health insurance program.
Thomas Lutz, 41, said in federal court he took responsibility for the six-year scheme in which Health Visions Corp. bilked $99.9 million from the military’s Tricare program through inflated and fraudulent claims.U.S. District Judge Barbara Crabb said the five-year sentence was modest given the extent of the fraud, but it was the longest she could impose under Lutz’s plea deal.
Health Visions and Lutz were initially charged in a 75-count indictment in 2005. He pleaded guilty in 2006 to a single count of conspiracy to pay kickbacks and agreed to cooperate with prosecutors, a deal Crabb called “a huge break” for Lutz.
“It’s just horrifying that you were able to take as much money as you did,” Crabb told Lutz.
Prosecutors said the company routinely inflated claims by more than 230 percent, operated a phony insurance program and billed for medical services never delivered.
In April, Crabb ordered Health Visions to pay $99.9 million in restitution. Under her order, the company must sell all of its assets, including land, hospitals and office buildings, within 10 months. She said Lutz would be responsible for paying the remainder, including at least 25 percent of his income once he is released from prison.
Crabb gave Lutz until March 18 to report to prison. Prosecutors asked for the nine-month delay so Lutz could help the government recover as much money as possible from the company.
Formed in 1997, Health Visions owned and operated hospitals and clinics in the Philippines and billed Tricare on behalf of other health care providers. The company served thousands of U.S. military retirees living in the Philippines, where bases were located until the early 1990s.
The company was reimbursed $163 million by Tricare between 1998 and 2004, and prosecutors believe at least $99.9 million of that was fraudulent.
Lutz, an American citizen, read a brief statement in which he took full responsibility for his company’s actions.
“I would like to apologize to the Department of Defense,” he said. “I am truly sorry for all those who have been affected.”
By Ryan J. Foley - The Associated Press
Posted : Thursday Jun 19, 2008 7:33:55 EDT
MADISON, Wis. — A former health care executive was sentenced Tuesday to five years in prison for helping his Philippines-based company swindle nearly $100 million from the U.S. military health insurance program.
Thomas Lutz, 41, said in federal court he took responsibility for the six-year scheme in which Health Visions Corp. bilked $99.9 million from the military’s Tricare program through inflated and fraudulent claims.U.S. District Judge Barbara Crabb said the five-year sentence was modest given the extent of the fraud, but it was the longest she could impose under Lutz’s plea deal.
Health Visions and Lutz were initially charged in a 75-count indictment in 2005. He pleaded guilty in 2006 to a single count of conspiracy to pay kickbacks and agreed to cooperate with prosecutors, a deal Crabb called “a huge break” for Lutz.
“It’s just horrifying that you were able to take as much money as you did,” Crabb told Lutz.
Prosecutors said the company routinely inflated claims by more than 230 percent, operated a phony insurance program and billed for medical services never delivered.
In April, Crabb ordered Health Visions to pay $99.9 million in restitution. Under her order, the company must sell all of its assets, including land, hospitals and office buildings, within 10 months. She said Lutz would be responsible for paying the remainder, including at least 25 percent of his income once he is released from prison.
Crabb gave Lutz until March 18 to report to prison. Prosecutors asked for the nine-month delay so Lutz could help the government recover as much money as possible from the company.
Formed in 1997, Health Visions owned and operated hospitals and clinics in the Philippines and billed Tricare on behalf of other health care providers. The company served thousands of U.S. military retirees living in the Philippines, where bases were located until the early 1990s.
The company was reimbursed $163 million by Tricare between 1998 and 2004, and prosecutors believe at least $99.9 million of that was fraudulent.
Lutz, an American citizen, read a brief statement in which he took full responsibility for his company’s actions.
“I would like to apologize to the Department of Defense,” he said. “I am truly sorry for all those who have been affected.”
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