WSFA 12 News Montgomery, AL |7 charged in Medicare fraud, feds seize millions

7 charged in Medicare fraud, feds seize millions

Associated Press - October 28, 2009 11:44 AM ET

JACKSON, Miss. (AP) - Court records say seven people associated with a Mississippi clinic have been indicted in a federal investigation into Medicaid and Medicare fraud.

Authorities also seized more than $3.6 million from bank accounts and two properties in Texas and one in Ellisville, Miss.

Authorities say the group billed Medicare and Medicaid more than $39 million during the alleged conspiracy and collected $18 million.

The defendants, including four doctors that worked for Statewide Physical Medicine Group in south Mississippi, were summoned to appear Nov. 4 in U.S. District Court in Hattiesburg.

At least some of the defendants also have ties to Alabama and New Mexico, but court records say the alleged fraud happened in Mississippi.

Copyright 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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