18 charged in Florida in $125M private insurance fraud scam

Published: Updated:
MGN Online

MIAMI (AP) – Federal authorities have charged 18 people in South Florida in a $125 million fraud scheme aimed at prominent private health insurance companies.

Four of those indicted last week controlled 30 companies in the Miami area that misappropriated the names and licensing information of dozens of physicians. Prosecutors say that information was used to submit false claims to the insurers.

Others in the scam received kickbacks for referring some beneficiaries to certain medical clinics where they would sign documents falsely claiming medical services that were never performed. Some beneficiaries were paid bribes or kickbacks to cover their monthly insurance premiums.

Affected insurance plans include big companies such as Cigna and United Health Care as well as plans operated by Miami-Dade County Public Schools, the City of Miami and Macy’s Inc.

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