NuMedCare: 9 get prison in huge $172M Palm Beach Co. insurance scheme

Nine people received sentences up to 15 years in a “massive” $175 million fraud scheme based in Palm Beach County that paid illegal kickbacks to doctors and misled insurers about cream medications costing up to $31,000 a tube, U.S. prosecutors said Friday.

U.S. District Judge Daniel T. K. Hurley imposed the following sentences: Clifford Carroll, 36, of Boca Raton, 180 months’ imprisonment; Todd Stephens, 52, of West Palm Beach, 120 months; Joel McDermott, 41, of Boca Raton, 72 months; Michael Kenna, 30, of Delray Beach, 60 months.

Also sentenced were Todd Hanson, 47, of Zephyr Cove, NV, 96 months; Christopher Mucha, 30, of Davie, 30 months; Ian Flaster, 34, of Delray Beach, 36 months; William Earl, 73, of Boca Raton, 24 months; and Dr. Peter Williams, 56, of New Port Richey, 60 months.

The operations of NuMedCare LLC of Boca Raton and related firms reached across the country and racked up big charges for medications compounded, or specially mixed, in pharmacies, with little regard for the actual needs of patients, according to prosecutors.

As The Palm Beach Post reported, the two-year scheme included call centers to solicit potential patients including veterans, “corrupt co-conspirator physicians” and “test billing” of insurance companies to see what would work.

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