Corporate Compliance

Physical therapy clinic employees plead guilty to defrauding Medicare

Compliance Monitor, June 29, 2011

Three employees of Solstice Wellness Center, Brooklyn-area physical therapy clinic, pleaded guilty in connection with a $3.4 million Medicare fraud scheme, according to a Department of Justice press release.   

Dmitry Shteyman, 36, Aleksey Shteyman, 42, and Maxsim Shvedkin, 39, paid cash kickbacks to Medicare beneficiaries to induce the beneficiaries to visit Solstice. According to the DOJ, Dmitry and Aleksey Shteyman and Shvedkin admitted that they paid kickbacks to the beneficiaries so that Solstice could bill Medicare for services and diagnostic tests that were not medically necessary. As a result of the scheme, Solstice billed Medicare more than $3.4 million for services that were not actually rendered and that were not medically necessary.

At sentencing, the defendants face a maximum sentence of 10 years in prison.

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