Four indicted for alleged fraudulent Medicare scam
Bay City News Service
March 1, 2006
Recently released documents from a San Francisco grand jury indictment
against four people involved in an alleged Medicare fraud scheme
show the defendants reportedly charged over $1 million for services
that were never performed or properly ordered.
San Francisco resident Daisy Cruz, 50, Glendale resident Harut
Korakossian, 52, Camarillo resident Wilson Fung, 44, and Whittier
resident Edward Ridgill, 53, operated the alleged fraudulent clinic
inside the headquarters of the nonprofit West Bay Pilipino Multi-Service
Center, the U.S. Attorney's Office reported.
According to the indictment, the four defendants filed fraudulent
claims with Medicare for physician services worth $488,375.
In addition, several prescriptions that were provided by the
clinic listed false physician information. The prescriptions reportedly
stated that Fung was the attending physician, though he reportedly
did not examine the beneficiaries, order diagnostic tests or order
durable medical equipment, the office reported.
Ridgill is alleged to have fraudulently signed numerous orders,
diagnoses and prescriptions used to bill Medicare. Unneeded medical
equipment ordered by Ridgill included power wheelchairs and electric
beds, according to the office.
Korakossian, who reportedly set up and operated the shoddy clinic,
was arraigned on the indictment on Wednesday. Ridgill and Fung
are scheduled to appear in court on March 8 for their arraignment,
the office reported.
Cruz is believed to be in the Philippines.
The four are charged with one count of conspiracy to commit health
care fraud, while Korakossian and Fung are also charged with 11
counts of health care fraud, the office reported. Each count carries
with it a 10-year prison sentence, $250,000 fine and three-year
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