Carmine A. Mattia Jr., Compounded Prescription Scheme, New Jersey 2024

Criminals in the Pharmaceutical Industry: A former pharmaceutical sales representative from New Jersey has been indicted for his role in a scheme to defraud a telecommunications company’s health care plan by billing for medically unnecessary compounded prescriptions, according to the U.S. Attorney’s Office.

Carmine A. Mattia Jr., 60, of Cedar Grove, New Jersey, was charged with one count of conspiracy to commit health care fraud and three counts of health care fraud, punishable by up to 10 years in prison and a $250,000 fine, or twice the gross gain or loss from the offense, whichever is greater.

Mattia was a full-time employee of the telecommunications company and a union representative for the company’s employees. He worked as a sales representative for a marketing company and various compounding pharmacies, selling compounded medications, including pain creams, scar creams, wound creams, and metabolic supplements/vitamins.

According to documents filed in the case, Mattia participated in a conspiracy to submit fraudulent prescriptions for compounded medications to the telecommunications company’s health care plan between April 2016 and July 2016. The compounding pharmacies paid Mattia a commission in exchange for each prescription for compounded medication Mattia caused to be billed to the company’s health care plan.

Mattia recruited Individual-1 to receive medically unnecessary compounded medications and paid them to induce them to receive these medications. He also secured the signature of a New Jersey doctor, Robert Agresti, on prescription forms for Individual-1. Agresti and Individual-1 did not have a doctor/patient relationship, and Agresti did not determine if Individual-1 needed the compounded medications selected, nor did he examine Individual-1. Agresti pleaded guilty on June 26, 2018, to conspiracy to commit healthcare fraud and is awaiting sentencing.

The scheme caused a loss to the telecommunications company’s health care plan of approximately $100,000. The charge and allegations contained in the indictment are merely accusations, and Mattia is presumed innocent unless and until proven guilty.

The case was investigated by the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark. The government is represented by Assistant U.S. Attorneys Emma Spiro and Sean M. Sherman of the U.S. Attorney’s Office, Opioid Abuse Prevention and Enforcement Unit in Newark.

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