Bay Area residents and health care policy watchers took note yesterday when the U.S. Attorney’s Office for the Northern District of California shed light on the dark underbelly of medical fraud. In a coordinated sting, 193 defendants across the country were swept up in a law enforcement action targeting health care fraud and opioid abuse, with four individuals facing charges in the Northern District of California. These charges, part of a nationwide crackdown announced by Assistant U.S. Attorney Matthew Yelovich, reveal an alleged scheme fraught with false claims and illegitimate prescriptions, amassing a staggering $2.75 billion in fraudulent billings to federal health care programs.
The crack team from the Northern District, comprising law enforcement organizations such as the Drug Enforcement Administration and IRS Criminal Investigation, worked to uncover schemes where medical professionals are accused of having enabled an online telehealth service to prescribe Adderall and other stimulants improperly. In a statement obtained by the Department of Justice, Attorney General Merrick B. Garland sternly reminded that whether "a trafficker in a drug cartel or a corporate executive or medical professional", those who profit from the unlawful distribution of controlled substances "will be held accountable."
Local charges stem from alleged involvement with Done Health, P.C. and Done Global Inc., and name four individuals: Riley Levy, Christopher Lucchese, Yina Cruz, and Katrina Pratcher. These charges were described in various information and indictments, accusing the defendants of participating in a conspiracy to distribute controlled substances through the Internet without a legitimate medical purpose. Furthermore, according to their accusations, false representations were made to pharmacies, and efforts by pharmacies to verify prescriptions were obstructed, resulting in false claims being submitted for reimbursement to Medicare and Medicaid.
Matthew Yelovich, finding the words to make plain the consequences of such actions, stated via the U.S. Attorney's Office, Northern District of California press release, "Making controlled substances available to persons without a legitimate medical purpose is drug dealing and knowingly facilitating bogus reimbursements from federal programs is fraud." In the flurry of enforcement efforts, which spanned two weeks, the Government also seized assets, including cash, luxury vehicles, and jewelry, totaling over $231 million.
Levy, Done’s Executive Leader, Operations and Strategy, and Lucchese, a medical doctor, and nurse practitioners Cruz and Pratcher all face serious charges. The prosecution is led by a specialized team, including Health Care Fraud Unit Principal Assistant Chief Jacob Foster and Trial Attorney Raymond Beckering III of the National Rapid Response Strike Force.
