Quintan Cockerell, a medical marketer, was convicted for a $55 million fraud scheme targeting the TRICARE program, a federal health care initiative catering to active and retired service members and their families. Details of the conviction were released by the U.S. Department of Justice.
As part of the scheme, compounded medicines were marketed as custom-made to satisfy individual patient needs. However, these medicines were concocted with the primary aim of maximizing reimbursements from TRICARE and other federal health care programs, completely disregarding their actual efficacy or patient necessity.
The Department of Justice revealed that Cockerell and other deceitful participants were paid illegal kickbacks to recruit doctors for prescribing these high cost medications. This further propelled the fraudulent scheme by turning these practices into desirable investment opportunities for doctors.
Unmoved by the consequences, Cockerell lavish lifestyles were funded by the proceeds of this fraud, including luxury vacations, private jet travel, and yacht rentals. Cockerell was convicted by a federal jury in the Northern District of Texas on multiple counts including conspiracy to defraud the United States, receiving unlawful kickbacks, and money laundering.
Awaiting a sentencing date, Cockerell could face a severe prison term for the crimes committed - with potential of up to five years for both conspiracy and kickback counts, and ten years for money laundering. His sentence will be determined considering the U.S. Sentencing Guidelines and other statutory factors.
During the investigation of this case, numerous investigative bodies worked collaboratively to ensure justice was served, including the Defense Criminal Investigative Service (DCIS), the Department of Health and Human Services Office of Inspector General (HHS-OIG), FBI, the Department of Labor Office of Inspector General (DOL-OIG), and the Department of Veterans Affairs Office of Inspector General (VA-OIG).
