Florida Man Kasbee Admits $4.8M Medicare Scam

NEWARK, N.J. – Charles P. Kasbee, Jr., 48, of Palm Beach Shores, Florida, is facing a hefty prison sentence after admitting today to his central role in a brazen $4.8 million Medicare fraud and kickback scheme. The confession came before U.S. District Judge Michael E. Farbiarz, marking a significant victory for U.S. Attorney Alina Habba and federal investigators.

The scheme, operating between February 2019 and September 2019, revolved around the submission of claims for medically unnecessary cancer genetic screening (CGX) tests. Kasbee and his accomplices didn’t bother with legitimate medical need; they built a network fueled by bribes and kickbacks to generate demand for these tests. Deceptive telemarketing tactics were employed by call centers hired by Kasbee, preying on vulnerable Medicare beneficiaries to obtain their personal and medical data.

Once the beneficiaries’ information was secured, CGX testing kits were shipped to them. The completed tests were then sent to a laboratory, which, in turn, submitted fraudulent claims to Medicare for reimbursement. Kasbee didn’t just participate; he profited handsomely, raking in kickback payments exceeding $1,200 per test that Medicare actually paid for. That’s right – over a grand for pushing junk tests on unsuspecting seniors.

To muddy the waters and conceal the illegal operation, Kasbee engaged in classic fraudster tactics. Kickbacks and bribes were deliberately mislabeled as “expenses” on contracts, and false invoices were created to disguise the true nature of these payments. The entire operation was built on a simple, illegal premise: Kasbee got paid solely based on the number of CGX tests Medicare reimbursed – a blatant violation of the federal Anti-Kickback Statute.

The total damage? A staggering loss of over $4.8 million to Medicare, a program designed to provide healthcare for those who need it most. Kasbee now faces a maximum potential penalty of 10 years in prison and a $250,000 fine for conspiracy to commit health care fraud. Additionally, he could receive up to five years in prison and another $250,000 fine for conspiracy to violate the federal Anti-Kickback Statute. Sentencing is currently scheduled for November 19, 2025.

The investigation was a collaborative effort led by the FBI, the Department of Health and Human Services-Office of Inspector General, the U.S. Department of Defense, Office of the Inspector General, Defense Criminal Investigative Service, and the U.S. Department of Veterans Affairs Office of Inspector General. Assistant U.S. Attorney Garrett J. Schuman of the Health Care Fraud and Opioid Enforcement Unit is prosecuting the case. Kasbee is represented by Joshua S. Lowther, Esq., of Atlanta, GA. The Grimy Times will continue to follow this case and report on any further developments.

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