Corporate Compliance

Texas nurses indicted for fraud, embezzlement

Compliance Monitor, January 27, 2010

Texas nurses Brandon Allen Ray and Stewart Powers face sentencing for charges of healthcare fraud, conspiracy, and embezzlement while working at Senior Health Services, Inc., d/b/a/ Community Specialty Hospital in Sherman, TX, according to a Department of Justice (DOJ) press release.
Ray, 30, allegedly billed Medicaid for $280,550 for nursing services not provided. According to the DOJ, Ray and Powers, 56, also the chief executive of the hospital conspired to embezzle money by submitting false work-and-time records which Powers approved. Powers also approved false records and directed hospital personnel to process time cards and write payroll checks.
The DOJ reports the hospital lost approximately $54,000. If convicted, both Ray and Powers face up to 10 years in federal prison.

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