John Doe, Medicaid Fraud Scheme, Charlotte NC, 2023

Charlotte resident Donald Booker, 57, will spend the next two decades behind bars after being sentenced for masterminding a brazen scheme to steal over $11 million from North Carolina’s Medicaid program. The sentence, handed down by U.S. District Judge Kenneth D. Bell, sends a clear message: exploiting a system meant to help the vulnerable won’t be tolerated.

Booker, owner of United Diagnostic Laboratories (UDL) and United Youth Care Services (UYCS), wasn’t operating a legitimate business. The feds proved in court that he ran a kickback operation, paying individuals for urine samples from Medicaid recipients. These samples were then used for unnecessary and fraudulent toxicology testing, lining Booker’s pockets at the expense of legitimate healthcare funding.

The total damage? A staggering $11,834,506.27. Beyond the 200-month prison sentence, Booker is on the hook to repay every stolen penny in restitution, plus a $1,000 penalty. This isn’t just about money; it’s about the real people who were denied care because of Booker’s greed. The investigation revealed a callous disregard for the program’s purpose and the individuals it serves.

Booker wasn’t working alone. Delores Jordan, 55, of Louisville, Kentucky, pleaded guilty in December 2022 to her role in the conspiracy. Jordan owned Legacy Housing and actively recruited vulnerable individuals – those facing homelessness or struggling with substance abuse – to participate in the scheme, further exploiting a desperate population. She awaits sentencing, likely facing significant jail time of her own.

Federal prosecutors, led by U.S. Attorney Dena J. King for the Western District of North Carolina, brought the case, working in tandem with the FBI and IRS-CI. Special Agents Robert M. DeWitt (FBI) and Donald “Trey” Eakins (IRS-CI) spearheaded the investigation, meticulously tracing the flow of fraudulent funds and building a case strong enough to secure a conviction. North Carolina Attorney General Josh Stein also participated in the collaborative effort.

Medicaid is a lifeline for millions, providing crucial healthcare access to those who can’t afford it. Schemes like Booker’s don’t just steal money; they erode trust in the system and jeopardize the well-being of the most vulnerable members of our communities. The feds are sending a message: those who prey on this system will be held accountable, no matter how complex the scheme.

The investigation uncovered a systematic pattern of abuse, with Booker and Jordan allegedly working in concert to maximize profits through fraudulent claims. Evidence presented at trial detailed how UDL and UYCS inflated billing and submitted claims for services never rendered, all while exploiting individuals struggling with addiction and housing insecurity.

This case underscores the importance of continued vigilance in protecting government programs from fraud. The FBI and IRS-CI will continue to work tirelessly to uncover these schemes and bring perpetrators to justice, ensuring that taxpayer dollars are used for their intended purpose: providing vital services to those in need.