Florida Nursing Assistant Convicted in $11.4M Medicare Fraud Scheme
A federal jury in Fort Lauderdale, Florida, has convicted Christian “Chris” Cruz, a 45-year-old nursing assistant from Pompano Beach, Florida, for his central role in a $11.4 million health care and wire fraud conspiracy. The scheme involved sending thousands of medically unnecessary orthotic braces to hundreds of Medicare beneficiaries across the nation.
The Scope of the Fraud
According to court documents, Cruz owned and operated a durable medical equipment (DME) supplier in Florida. Through this company, he submitted millions of dollars in false claims to Medicare for braces that were not needed by the recipients. He and a co-conspirator obtained signed doctors’ orders through illegal kickbacks and bribes.
Deceptive Practices and Financial Gain
Cruz misrepresented his business ownership to Medicare, falsely claiming to be the sole operator. In reality, he shared ownership with a convicted felon, a fact that would have prevented the company from enrolling in Medicare. Cruz personally received several hundred thousand dollars from the fraudulent activity, withdrawing the funds in cash amounts just under $10,000 to avoid bank reporting requirements.
Official Reactions
Assistant Attorney General A. Tysen Duva stated, “Defendant Chris Cruz blatantly lied to Medicare in order to steal over $11 million from hard-working taxpayers.” U.S. Attorney Jason A. Reding Quiñones emphasized that healthcare fraud “undermines confidence in our healthcare system,” and that medical professionals who exploit their positions will face consequences.
The FBI and the Department of Health and Human Services Office of Inspector General (HHS-OIG) conducted the investigation. Acting Deputy Inspector General for Investigations Scott J. Lampert affirmed HHS-OIG’s commitment to ensuring medical decisions are based on patient need, not financial gain.
Potential Next Steps
Cruz faces a maximum penalty of 125 years in prison. However, a federal district court judge will determine the actual sentence after considering U.S. Sentencing Guidelines and other relevant factors. It is possible the judge will impose a lesser sentence. The co-conspirator, who remains at large, could face similar charges and prosecution if apprehended. Further investigations may also be conducted to identify any other individuals or entities involved in the scheme.
Frequently Asked Questions
What charges was Chris Cruz convicted of?
Cruz was convicted of one count of conspiracy to commit health care fraud and wire fraud, four counts of health care fraud, one count of conspiracy to defraud the United States and to make false statements relating to health care matters, and three counts of structuring.
How did Cruz attempt to conceal the fraudulent funds?
Cruz frequently withdrew cash from his personal bank account in amounts just under the $10,000 bank reporting threshold at different branches in South Florida.
What is the Health Care Fraud Strike Force Program?
The Health Care Fraud Strike Force Program, comprised of nine strike forces operating in 27 federal districts, has charged over 5,800 defendants since March 2007, collectively billing federal health care programs and private insurers more than $30 billion.
How can we better protect vulnerable populations from becoming victims of healthcare fraud schemes?