Michael Barbella, Managing Editor02.07.23
A federal jury convicted two Florida physicians for defrauding Medicare, submitting more than $31 million of false bills for orthotic braces their patients neither needed nor used.
Prosecutors said Miami orthopedic surgeon Lawrence Alexander, M.D., owned one of the medical equipment firms with Waxman and concealed both his role and Waxman’s role in the scheme by claiming one of Alexander’s family members owned the company. Waxman pleaded guilty and testified against the two doctors at trial.
The jury convicted Zusmer, 54, of conspiracy to commit healthcare fraud, healthcare fraud, conspiracy to pay illegal healthcare kickbacks, paying illegal healthcare kickbacks, and false statements relating to healthcare matters. He faces a maximum 10-year prison term at his April 20 sentencing on each of the following counts: conspiracy to commit healthcare fraud; healthcare fraud; and paying illegal health care kickbacks. Zusmer also could receive a maximum five-year prison term for conspiracy to pay illegal healthcare kickbacks and false statements relating to healthcare matters.
Barry Wax, a defense attorney for Zusmer, told the Miami Herald that Waxman's testimony was crucial for the government's case. “We are extremely surprised and disappointed with the jury’s verdict,” Wax informed the newspaper. “This case had a significant amount of reasonable doubt, primarily based on the testimony of one of the co-defendants, Jeremy Waxman. We expected a much different verdict.”
Alexander, 45, was convicted of false statements relating to healthcare matters and faces a maximum five-year prison term at his April 20 sentencing. His attorneys vowed to appeal the verdict. “There was no evidence to convict Dr. Alexander,” Frank Quintero said in a statement to the Herald. He insisted that Alexander was not involved in running the medical equipment company, did not fill out the Medicare Enrollment Application, and that his mother’s signature was forged on the form, which provides details about the company’s services. He also claimed that Waxman managed the company.
Waxman is currently serving a 15-year jail term for his role in the scheme.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; Assistant Director Luis Quesada of the FBI Criminal Investigative Division; Special Agent in Charge David Walker of the FBI Tampa Field Office; and Special Agent in Charge Omar Pérez Aybar of the Department of Health and Human Services Office of the Inspector General (HHS-OIG), Miami Regional Office made the announcement.
The FBI and HHS-OIG investigated the case.
Trial Attorneys Catherine Wagner, Patrick Queenan, Meredith Hough, Jamie de Boer, and Keith Clouser of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, comprised of 15 strike forces operating in 24 federal districts, has charged more than 4,200 defendants who collectively have billed the Medicare program for more than $19 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in healthcare fraud schemes.
According to court documents and trial evidence, Miami chiropractor Dean Zusmer conspired with others to steal millions of dollars from Medicare. Zusmer owned one of four medical equipment companies in Miami-Dade, Broward, and Pinellas counties that collectively billed Medicare more than $31 million for medically unnecessary products, of which over $15 million was paid. Zusmer and his co-conspirators, including Jeremy Waxman, acquired patient referrals and signed doctors’ orders by paying kickbacks to marketers who used overseas call centers to solicit patients and telemedicine companies to procure patient prescriptions for unnecessary braces.
Prosecutors said Miami orthopedic surgeon Lawrence Alexander, M.D., owned one of the medical equipment firms with Waxman and concealed both his role and Waxman’s role in the scheme by claiming one of Alexander’s family members owned the company. Waxman pleaded guilty and testified against the two doctors at trial.
The jury convicted Zusmer, 54, of conspiracy to commit healthcare fraud, healthcare fraud, conspiracy to pay illegal healthcare kickbacks, paying illegal healthcare kickbacks, and false statements relating to healthcare matters. He faces a maximum 10-year prison term at his April 20 sentencing on each of the following counts: conspiracy to commit healthcare fraud; healthcare fraud; and paying illegal health care kickbacks. Zusmer also could receive a maximum five-year prison term for conspiracy to pay illegal healthcare kickbacks and false statements relating to healthcare matters.
Barry Wax, a defense attorney for Zusmer, told the Miami Herald that Waxman's testimony was crucial for the government's case. “We are extremely surprised and disappointed with the jury’s verdict,” Wax informed the newspaper. “This case had a significant amount of reasonable doubt, primarily based on the testimony of one of the co-defendants, Jeremy Waxman. We expected a much different verdict.”
Alexander, 45, was convicted of false statements relating to healthcare matters and faces a maximum five-year prison term at his April 20 sentencing. His attorneys vowed to appeal the verdict. “There was no evidence to convict Dr. Alexander,” Frank Quintero said in a statement to the Herald. He insisted that Alexander was not involved in running the medical equipment company, did not fill out the Medicare Enrollment Application, and that his mother’s signature was forged on the form, which provides details about the company’s services. He also claimed that Waxman managed the company.
Waxman is currently serving a 15-year jail term for his role in the scheme.
Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; Assistant Director Luis Quesada of the FBI Criminal Investigative Division; Special Agent in Charge David Walker of the FBI Tampa Field Office; and Special Agent in Charge Omar Pérez Aybar of the Department of Health and Human Services Office of the Inspector General (HHS-OIG), Miami Regional Office made the announcement.
The FBI and HHS-OIG investigated the case.
Trial Attorneys Catherine Wagner, Patrick Queenan, Meredith Hough, Jamie de Boer, and Keith Clouser of the Criminal Division’s Fraud Section are prosecuting the case.
The Fraud Section leads the Criminal Division’s efforts to combat health care fraud through the Health Care Fraud Strike Force Program. Since March 2007, this program, comprised of 15 strike forces operating in 24 federal districts, has charged more than 4,200 defendants who collectively have billed the Medicare program for more than $19 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in healthcare fraud schemes.
