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crime1d ago
Fayetteville man pleads guilty in $3.1 million Medicare prescription drug scheme
- A Fayetteville man pleaded guilty to conspiracy to pay and receive health care kickbacks in a $3.1 million Medicare scheme.
- Klein operated JRS Group LLC and arranged for unnecessary prescriptions obtained through kickbacks and bribes, then took the proceeds for personal use.
- Brokers were paid to connect beneficiaries with free prescriptions regardless of medical need.
- Doctors conducted telemedicine visits to sign prescriptions Klein had already selected.
- Pharmacies paid Klein for referred prescriptions, with documented checks in the hundreds of thousands.
- The scheme led to at least $3.1 million in improper Medicare payments, prosecutors say.
- Other participants, including an out-of-state doctor and insurance agents, have pleaded guilty.
- The U.S. Attorney’s Office for the Western District of New York released the charges and details of the case.
- The plea agreement carries potential penalties of up to five years in prison and a $250,000 fine.
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