Chicago couple indicted in scheme to bilk Medicare out of $45 million, keep Filipino housekeeper in servitude

A Chicago couple used their healthcare business to bilk Medicare out of $45 million while also conspiring to force a housekeeper to work against her will, according to an indictment returned this week in federal court in Chicago.

Richard Tinimbang, 38, and his wife Maribel Tinimbang, 40,  were part of a $45 million fraud scheme involving three Lincolnwood-based home healthcare companies owned by Richard Tinimbang's mother, Josephine Tinimbang, according to the indictment.

Richard and Maribel Tinimbang's business, Patients First Physical Therapy Inc., claimed to provide in-home therapy services to patients of the three companies.

The companies paid bribes and kickbacks to obtain Medicare beneficiaries, ignored doctors who refused to certify beneficiaries as being in need of home healthcare, and falsified medical records to make patients appear sicker than they actually were, the indictment stated.

[Also: Former healthcare clinic consultant, biller sentenced to 11 years in prison for role in $63M fraud]

The couple concealed the money they pocketed by disguising it as business expenses, authorities said.

In addition to the fraud charges, Richard Tinimbang is accused of submitting fraudulent forms to the U.S. Department of Homeland Security to allow a Filipino woman to legally work in the United States. She was allegedly hired as a business analyst, which qualified her for an H-1B visa.  When the woman arrived in the United States, Richard Tinimbang put her to work full time as a nanny and housekeeper, the indictment states.

The couple allegedly attempted to force the woman to sign a servitude contract that stipulated a salary of $66 per day – regardless of the number of hours worked – for a term of seven years. 

The contract further provided that if the woman quit before the seventh year, she would be required to pay $25,000 in damages, the indictment states. To force the woman to surrender her passport and sign the contract, the couple threatened to send her back to the Philippines without being paid for the work she had already performed, according to the indictment.

[Also: Dallas doctor convicted in landmark $375 million fraud case, largest ever in home health]

Meanwhile, the couple and Josephine Tinimbang allegedly used proceeds from the healthcare fraud to buy a 5,000-square-foot residence in Lincolnwood and purchase shares of stock, vehicles, real estate, and jewelry.

The case is part of a larger healthcare fraud investigation that previously resulted in charges against 13 others. Three defendants have pleaded guilty and are awaiting sentencing, while the other ten, including Josephine Tinimbang, are awaiting trial.

The investigation found that several individuals who worked at three related home health care companies – Donnarich Home Health Care Inc., Josdan Home Health Care Inc., and Pathways Home Health Services LLC – conspired to commit healthcare fraud and laundered money to conceal the scheme. 

[Also: Running list of notable 2016 healthcare frauds]

The fraud started in 2008 and continued into 2014, resulting in a loss to Medicare of $45 million, according to the indictment.

Richard Tinimbang, is charged with one count of conspiracy to defraud Medicare, one count of conspiracy to pay or receive health care kickbacks, two counts of paying kickbacks to induce referrals of Medicare beneficiaries, one count of money laundering conspiracy, one count of conspiracy to obtain forced labor, and one count of presenting false statements in an immigration document.

Maribel Tinimbang, is charged with one count of conspiracy to defraud Medicare, one count of money laundering conspiracy, and one count of conspiracy to obtain forced labor.

Twitter: @SusanJMorse