Delaware County podiatrist Stephen A. Monaco was sentenced to 97 months in federal prison for orchestrating a $5 million health care fraud scheme that preyed on Medicare, Medicaid, and private insurance companies. The 57-year-old former operator of A Foot Above Podiatry in Havertown, PA, admitted to billing for procedures never performed and pushing dangerous opioids to ‘pill seeking’ patients in exchange for fraudulent insurance payouts.
Between January 2008 and October 31, 2014, Monaco systematically submitted claims for podiatric treatments that either never took place or had no medical justification. His clinic became a pipeline for oxycodone prescriptions, often handed out to patients who came not for foot care, but for access to addictive painkillers. To mask the illegality, Monaco subjected these individuals to painful, unnecessary injections in their toes and feet—procedures designed solely to justify the opioid prescriptions on insurance forms.
The fraud totaled $4,960,295 in false claims, most of which flowed through federal and state health programs. Acting United States Attorney Louis D. Lappen announced the sentence handed down in Philadelphia, where U.S. District Judge Juan R. Sánchez imposed the 97-month prison term and ordered Monaco to pay full restitution. The judge also mandated three years of supervised release and forfeiture of assets traceable to the criminal enterprise.
Monaco pleaded guilty to health care fraud on August 23, 2016, and voluntarily surrendered his DEA license, effectively ending his medical practice. Authorities say the scheme unraveled as insurance auditors flagged irregular billing patterns and patient histories showed repeated, unjustified injections and opioid dispensing. Investigators found no clinical basis for the vast majority of the procedures billed.
The case was jointly investigated by a coalition of federal and state watchdogs, including the U.S. Department of Health and Human Services Office of the Inspector General, the FBI, the Drug Enforcement Administration, the Office of Personnel Management OIG, the U.S. Railroad Retirement Board OIG, and the Pennsylvania Office of Attorney General’s Medicaid Fraud Control Section. The breadth of agencies involved underscores the reach of the fraud across multiple public systems.
Assistant United States Attorneys M. Beth Leahy and Jennifer B. Jordan prosecuted the case, painting Monaco as a medical professional who betrayed his oath for profit. ‘He turned his clinic into a prescription mill disguised as a foot doctor’s office,’ one prosecutor stated. With restitution, prison time, and asset forfeiture, federal authorities say the sentence sends a message to health care providers who exploit the system at patients’ expense.’
Related Federal Cases
- Chester Man Hameed Gets 8 Years in Gov Home Fraud · Delaware
- CPA Barry Horrow Pleads Guilty to Bank Fraud Scheme · Delaware
- Delaware Man Khar Abdulah Gets 10 Years for Forged Oxycodone Scheme · Delaware
- Jury Convicts Leaford Cameron in Nationwide Law Fraud Scheme · Pennsylvania
- Seth Rehfuss Gets 50 Months for Medicare Swindle · Mississippi
Key Facts
- State: Pennsylvania
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
🔒 Get the grimiest stories delivered weekly. Subscribe free →
Browse More
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News