New Orleans doctor, home health company owner convicted in $34 million Medicare fraud scheme
Scheme spanned 7 years and saw Medicare pay out more than $29 million in fraudulent claims, Department of Justice said.
A federal jury in New Orleans has convicted a New Orleans doctor and the owner of a New Orleans home health company for their roles in a seven year medicare fraud scheme that spawned more than $34 million in claims, more than $29 million of which were paid out by Medicare, the Department of Justice announced in a statement.
Elaine Davis, 59, and Dr. Pramela Ganji, 66, both of New Orleans, were each convicted of one count of conspiracy to commit healthcare fraud and one count of health care fraud after eight-day trial.
According to the DOJ, evidence showed that from 2007 through 2015 the company that Davis owned and operated, Christian Home Health Care Inc., submitted $34.4 million in claims to Medicare, many of which were false. Medicare paid Christian approximately $29.6 million on the claims. For her role, the DOJ said Davis paid employees to recruit new patients from New Orleans, surrounding communities and Hammond, Louisiana.
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Dr. Ganji signed off on new patients' information, certifying that patients qualified to receive home health care services, which the DOJ said evidence showed they did not qualify for or actually need. In fact, Ganji had often never even seen the patients. The false certifications enabled Davis and her company to bill Medicare for home health services.
Davis and Ganji will be sentenced on July 6, 2016.
The case was investigated by the FBI and Health and Human Services Office of the Inspector General.
Twitter: @BethJSanborn