Newark, NJ – In a shocking revelation, Len Rubinstein, 42, of Holmdel, New Jersey, has pleaded guilty to his role in a long-running bribes-for-test-referrals scheme operated by Biodiagnostic Laboratory Services LLC (BLS), of Parsippany, New Jersey, its president, and numerous associates.
Rubinstein, a salesman, admitted to conspiring to violate the Anti-Kickback Statute and the Travel Act, and with money laundering, and making cash payments of thousands of dollars to doctors on behalf of BLS.
This marks the 14th individual to plead guilty in connection with BLS’s sophisticated bribery scheme, which its organizers have admitted involved the payment of millions of dollars in bribes and resulted in more than $100 million in payments to BLS from Medicare and various private insurance companies.
According to documents filed in this and other cases and statements made in court, Rubinstein agreed with the Nicolls and others to pay doctors to refer patients to BLS for testing of blood specimens. He paid cash bribes to doctors as part of the conspiracy.
Rubinstein used Delta Consulting Group LLC – an entity he controlled – to hide the money he received from BLS and used to make bribe payments to doctors.
Rubinstein faces a maximum potential penalty of five years in prison and a $250,000 fine on the bribery conspiracy charge and 20 years in prison and a $500,000 fine on the money laundering charge, or twice the gross gain or loss from the offense.
Sentencing is scheduled for November 12, 2013. He has also agreed to forfeit $250,000. The investigation has so far recovered more than $3 million through forfeiture.
Related Federal Cases
- Arts & Crafts Fraud: Medicare Hit for $200K · Pennsylvania
- Finger-Painting Fraud: $200K Medicare Rip · Pennsylvania
- Coloring Scam: Medicare Ripped Off · Pennsylvania
- Art Fraud: $200K Medicare Scam · Pennsylvania
- Artful Dodge: Medicare Fraud Case Closed · Pennsylvania
Key Facts
- State: New Jersey
- Category: White Collar Crime|Healthcare Fraud
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News