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Dr. Jeffrey David Gross, Medicare Fraud, California 2020

Published May 21, 2021

Orthopedic Surgeon Sentenced to 15 Months in Prison for Medicare Fraud

SANTA ANA, California - Dr. Jeffrey David Gross, 55, was sentenced today to 15 months in federal prison for accepting nearly $623,000 in bribes and kickbacks in exchange for referring his patients to receive spinal surgeries at a corrupt Long Beach hospital.

Dr. Gross, who resides in Dana Point and Las Vegas, pleaded guilty in August 2020 to one felony count of conspiracy to commit honest services mail and wire fraud.

The kickback scheme centered on Pacific Hospital in Long Beach, which specialized in surgeries, especially spinal and orthopedic procedures. The owner of Pacific Hospital, Michael D. Rrobot, conspired with doctors, chiropractors, and marketers to pay kickbacks in return for the referral of thousands of patients to Pacific Hospital for spinal surgeries and other medical services paid for primarily through the California workers' compensation system.

During its final five years, the scheme resulted in the submission of more than $500 million in fraudulent medical bills. To date, 15 defendants have been convicted for participating in the kickback scheme.

Dr. Gross, a licensed neurosurgeon who operated Oasis Medical Providers Inc. in Laguna Niguel, agreed with Drobot to participate in a scheme to defraud patients of their right to honest services by accepting bribes and kickbacks that were paid to induce Dr. Gross to refer patients to Pacific Hospital for spinal surgeries and other medical services.

In total, between April 2008 and May 2013, Drobot paid Dr. Gross $622,936 pursuant to these agreements. During the same period, Dr. Gross referred dozens of patients to Pacific Hospital for spinal surgeries based in part on payments made to him under those agreements.

The FBI, IRS Criminal Investigation, California Department of Insurance, and the United States Postal Service Office of Inspector General investigated this matter. Assistant United States Attorneys Joseph T. McNally of the Violent and Organized Crime Section and Scott D. Tenley of the Santa Ana Branch Office prosecuted this case.

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Source: https://www.justice.gov/usao-cdca/pr/surgeon-sentenced-15-months-prison-accepting-illicit-payments-exchange-referring