Another Day: Another 10 Doctors Jailed. Two of the Miscreants are These . . .

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When they wear lab coats and stethoscopes, they don’t quite look like criminals, do they?

Federal prosecutors in New Jersey announced this week that two more doctors have been ordered to prison for their roles in a wide-spread, medical laboratory tests bribery scam.

The thieves will see you now . . .

The thieves will see you now . . .

Doctor Gary Leeds, age 61, a resident of Greenwich Connecticut, and Doctor Richard Goldberg, age 65 of Weston, were both given 20-month terms in federal prison. After their release from prison, both men will be supervised and must pay $100,000 fines.

Investigators revealed that Leeds and Goldberg referred nearly $2,000,000 in illegal blood test transactions from the business they operated, the Family Medical Group of Manhattan, to Biodiagnostic Laboratory Services in Parsippany New jersey.

26 other doctors involved in the long-running scheme have also been found guilty, in this medical fraud scam that brought in $100,000,000 from insurance companies and the federal Medicare program.

Here’s another view of the case:

http://www.fbi.gov/newark/press-releases/2015/two-new-york-doctors-sentenced-to-prison-for-taking-bribes-in-test-referrals-scheme-with-new-jersey-clinical-lab

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If the subject of crime in health care interests you, please order a copy of our new book, “The Paramedic Heretic.” It just might save the life of someone you love.

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9 thoughts on “Another Day: Another 10 Doctors Jailed. Two of the Miscreants are These . . .

  1. Katie says:

    The tests weren’t illegal. The referral fees were. In other professions, referral fees are legal.

    • The bribery transactions were illegal, and many of the lab tests were illegal too, because they were bogus and often unnecessary. That is the main reason they are being sued by – among other insurance companies – Aetna. Unnecessary testing for cash is theft.

      • Katie says:

        My understanding is that these particular doctors plead guilty on one count: for taking referral fees, not for ordering unnecessary blood tests. I think you are being a bit sensationalistic by mischaracterizing the basis for the guilty pleas.

      • No “sensationalism” necessary on this site. 2,400 doctors a year generate their own headlines. These idiot physicians and their need for greed, cost the taxpayers millions in investigation fees alone, that will never be recovered. Before you minimize the damage of lab coat lunatic misbehavior, give 10 seconds of thought as to why medical insurance rates have gone sky-high. Insurance companies have been raped & pillaged for decades by unscrupulous practitioners. They know all about the NPDB ‘wall of shame’ miscreants.

        Understand too, “One count” does not in any way mean “one crime.” It means both sides agreed to avoid trial by lumping all the crimes that would be exposed to a jury, into one convenient criminal writ. And in these particular pleas – as is so often the case in plea agreements – many other crimes will not be prosecuted. Happens a thousand times a day in this country. But if you studied the prosecution’s case in total, as we did, you would know this:

        “Detailed records were kept of payouts to physicians, as well as the tests they’d ordered and the amount of revenue the tests generated for BLS. In many instances, the physicians earned cash fees as a reward by ordering more expensive testing of blood specimens than medically necessary.” (U.S. Attorney Paul J. Fishman with the Department of Justice.)

        Sadly, It ain’t rocket science. What these two egotistical idiots did is ordinary street scams in lab coats. They gamed the system.

        Not all that much different than the 40,000 OTHER physicians (since 1985) who’ve learned they can rob the till of insurance providers, simply by writing the term “MD” after their signatures.

        It’s called “entitlement” and it stinks.

  2. Susan says:

    I can’t speak for Dr. Leeds, but Dr. Goldberg was my and my husband’s physician for years. He is a wonderful doctor and saved my husband’s life. I don’t condone what he did, but for you to characterize him the way you are without any knowledge of who he is sucks. He is not an idiot and is one of the finest doctors I’ve ever known. We miss him terribly.

    • Susan –

      Doctor Richard Goldberg was one of more than two dozen criminal physicians convicted in a monstrous bribery scheme, which its key players confessed illegally billed Medicare and numerous private insurance companies, well over $100,000,000.

      Goldberg and his co-criminal doctor/buddy Gary Leeds admitted to accepting thousands of dollars in secret cash payments every month for more than 3 years, for referring patient blood specimens to a scam operating out of a lab called BLS. The pair acknowledged they each accepted more than $100,000 in cash from BLS in exchange for referring nearly $2,000,000 in lab business from their joint practice, Family Medical Group of Manhattan.

      The investigation was so complex and took so long that the case itself cost the taxpayers another $4,500,000 in law enforcement and court costs.

      You said: ” I don’t condone what he did, but for you to characterize him the way you are without any knowledge of who he is sucks.”

      We know exactly who he is. He’s a thief with a terrific bedside manner. They say Jeffrey Dahmer was a really great guy too, except for that little personality flaw when it came to secretly eating teenagers.

      No, here’s what sucks. Here’s what really sucks. Your favorite MD joined two dozen other medical miscreants in your neighborhood because they were so damned greedy, that they decided they were entitled to rob taxpayers of countless millions. And some of the money that stole was probably YOURS.

      The fact that you actually believe this selfish con artist in a lab coat is “one of the finest doctors” you’ve ever known – well, that underscores exactly why the Medical Miscreant website never seems to run out of Daffy Doc material to report. The enabling public goes gaga over stethoscopes.

      We get 2,400 cases of these degreed twits who cannot seem to find their moral compass, every single year.

      And next year? We’ll get 2,400 more.

      • Katie says:

        Where is your evidence that the lab did improper work? Where is your evidence that they illegally billed anyone? You and everyone else knows that insurance companies including Medicare set the terms of how much they will pay for medical services.

        This case to the best of my knowledge is simply about referral kickbacks. You are misdescribing the situation to advance your agenda.

      • Our “agenda?” Please grow up and sprout a body part capable of logical thought.

        President of New Jersey Clinical Laboratory, Six Salesmen Admit Bribing Doctors for More Than $100 Million in Test Referrals
        U.S. Attorney’s Office
        June 10, 2013

        District of New Jersey
        (973) 645-2888
        NEWARK, NJ—The president of Parsippany, New Jersey-based Biodiagnostic Laboratory Services LLC (BLS), three BLS employees, and three associates admitted today to a conspiracy in which millions of dollars in bribes were paid to physicians over a number of years in exchange for blood sample referrals worth more than $100 million to the company, U.S. Attorney Paul J. Fishman announced.

        Each of the seven defendants—David Nicoll, 39, of Mountain Lakes, New Jersey; Scott Nicoll, 32, of Wayne, New Jersey; Cliff Antell, 38, of Rumson, New Jersey; Luke Chicco, 40, of Garden City, New York; Doug Hurley, 33, of Hillsborough, New Jersey; Kevin Kerekes, 47, of Florham Park, New Jersey; and Craig Nordman, 34, of Whippany, New Jersey—pleaded guilty to an information charging him with one count of conspiracy to violate the Anti-Kickback Statute and the Federal Travel Act and one count of money laundering. The defendants entered their guilty pleas before U.S. District Judge Stanley R. Chesler in Newark federal court.

        “Today seven men, including the president of a diagnostic lab, admitted to a conspiracy making more than $100 million in illegal income from business brought through bribes,” said U.S. Attorney Fishman. “Individual greed has no place in a treatment plan, and people seeking medical help deserve to know a doctor’s recommendations are based on professional expertise, not illicit profits. Today is an important step, but we aren’t finished holding criminals responsible for this conspiracy or who break the law to put profits over patients.”

        “Health care fraud is a serious crime which impacts all Americans, either directly or indirectly, by inflating costs in the health care system,” said Newark FBI Special Agent in Charge Aaron T. Ford.

        Our “agenda” is awakening the citizenry from their childlike, doctor-adoring stupor long enough to realize that aberrant healthcare steals more money; commits more crime; kills and injures more Americans, than all the terrorist organizations put together.

        What is your “agenda” in rationalizing bad medicine?

  3. Brandi says:

    Your medical expose site is really interesting. I have bookmarked it.

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