Dr. Salomon Melgen, a South Florida ophthalmologist, was sentenced to 17 years in federal prison today for a brazen Medicare fraud scheme that bilked the system of $42 million. The sentence, handed down by U.S. District Judge Kenneth A. Marra in West Palm Beach, includes three years of supervised release and a court order for full restitution to Medicare. The verdict caps a multi-year investigation and an eight-week jury trial in April 2017 that ended with Melgen’s conviction on 67 counts of health care fraud and related charges.
Melgen, who specialized in retinal disorders and operated clinics in Palm Beach and St. Lucie Counties until his 2015 arrest, systematically defrauded Medicare and other health care benefit programs from January 2008 through December 2013. He falsely diagnosed elderly patients with macular degeneration and then subjected them to medically unnecessary procedures—repeated injections of costly drugs and laser treatments—solely to inflate billing. These fraudulent actions netted him tens of millions in reimbursements, with the actual loss to Medicare pegged at $42 million and the intended loss exceeding $70 million.
Federal prosecutors painted a picture of greed masked as medicine. U.S. Attorney Benjamin G. Greenberg stated, “In perpetrating his multi-million fraud scheme on health care benefit programs like Medicare, Dr. Melgen showed complete disregard for what was best for his patients and abused their trust for his own personal financial gain.” Greenberg emphasized that the case sends a clear message: no professional shield protects those who exploit public programs for profit.
The FBI and federal health inspectors pulled no punches. Robert F. Lasky, Special Agent in Charge of the FBI’s Miami Field Office, called Melgen’s actions “a disgrace to the medical profession.” He added, “Not satisfied with being a successful ophthalmologist committed to treating his patients’ legitimate medical conditions, Melgen devised a scheme to enrich himself by defrauding Medicare and other benefit programs to the tune of tens of millions of dollars.”
Shimon Richmond, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General, underscored the human cost: “Salomon Melgen callously took advantage of patients who came to him fearing blindness. Instead of treatment, they received medically unreasonable and unnecessary tests and procedures that victimized his patients and the American taxpayer.” The OIG vowed continued crackdowns on medical fraudsters hiding behind white coats.
The case was a joint takedown by federal watchdogs, including the FBI, HHS-OIG, U.S. Railroad Retirement Board OIG, and the Defense Criminal Investigative Service. Inspector General Martin J. Dickman affirmed the RRB-OIG’s role in fighting fraud, calling Melgen’s sentencing a “loud and clear” warning to others gaming the system. Additional restitution amounts for private insurers and individual victims will be determined at a later hearing.
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Key Facts
- State: Florida
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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