Health Information Management

Defendant guilty in identity theft case

HIPAA Weekly Advisor, January 29, 2007

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A jury on January 24 convicted Fernando Ferrer, Jr., of an eight-count indictment charging that he committed identity theft, wrongfully disclosed PHI, and defrauded the United States government, according to a release from the Department of Justice. Ferrer's cousin, Isis Machado, has already pleaded guilty to one count of conspiracy to commit computer fraud, identity theft, and wrongful disclosure of individual health information in connection with her involvement in the case.

According to prosecutors, Machado used her position at the Cleveland Clinic to download the information of more than 1,000 patients from May 2005 to June 2006. She then sold the data to Ferrer, who used the stolen Social Security numbers, names, dates of birth, and Medicare numbers to submit approximately $7 million in false Medicare claims. Ferrer faces a maximum of 30 years in prison. District Judge James Cohn will sentence him on April 27, 2007.

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