$25 Million Medicare Fraud Scheme Uncovered in Gulf Coast States

Slidell, LA – A clinical psychologist and owner of Psychological Services Centers have been convicted of running a $25 million Medicare fraud scheme in four Gulf Coast states.

According to evidence presented at trial, Rodney Hesson, Psy.D, 47, and Gertrude Parker, 63, caused their companies to bill Medicare for hours of psychological testing services that nursing home residents did not need or in some instances did not receive.

The scheme, which operated through eight companies in Alabama, Florida, Louisiana, and Mississippi, submitted over $25.2 million in claims to Medicare between 2009 and 2015, with a significant amount being fraudulent. Medicare paid more than $13.5 million on the fraudulent claims.

Hesson and Parker were each convicted of one count of conspiracy to commit health care fraud and one count of conspiracy to make false statements related to health care matters. The jury verdict included a money judgment of $8,956,278, as well as forfeiture of Hesson’s home and at least $525,629 in seized currency.

A sentencing hearing for both defendants is set for May 4, 2017, before U.S. District Court Judge Carl J. Barbier of the Eastern District of Louisiana.

The case was investigated by the FBI and the U.S. Department of Health and Human Services Office of Inspector General, and was brought by the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Eastern District of Louisiana.

The Medicare Fraud Strike Force has charged over 3,000 defendants who collectively have billed the Medicare program for over $11 billion since its inception in March 2007.