David Guerrero, 41, of Milwaukee, Wisconsin, and Alexander Shister, 51, of Mequon, Wisconsin, have been charged in a 23-count indictment for their alleged involvement in a prescription drug kickback scheme. The indictment, which was returned by a federal grand jury on August 25, 2020, charges the defendants with paying and receiving illegal kickbacks relating to the provision of items and services payable by federal health care programs.
According to the indictment, Shister, who owned several pharmacies in the Milwaukee area, paid kickbacks to Guerrero, who worked at two Milwaukee clinics, in exchange for Guerrero routing prescriptions for compounded pain cream medication to Shister’s pharmacies. Shister’s pharmacies then sought and received reimbursement from Medicare and Medicaid for filling these prescriptions.
The indictment alleges that the defendants engaged in a scheme to defraud federal health care programs, including Medicare and Medicaid, by paying and receiving kickbacks in exchange for referrals. If convicted, the defendants face up to 5 years in prison for each count. The indictment also charges Guerrero with health care fraud, which carries a maximum penalty of up to 10 years in prison, and aggravated identity theft, which carries a mandatory minimum of 2 years in prison.
This case was investigated by the Federal Bureau of Investigation, the U.S. Department of Health and Human Services – Office of Inspector General, and the Wisconsin Department of Justice Medicaid Fraud Control and Elder Abuse Unit. It will be prosecuted by Assistant United States Attorneys Benjamin Proctor and Michael Carter.
An indictment is only a charge and is not evidence of guilt. The defendants are presumed innocent and are entitled to a fair trial at which the government must prove them guilty beyond a reasonable doubt. The investigation and prosecution of this case demonstrate the commitment of law enforcement agencies to combating health care fraud and protecting the integrity of federal health care programs.
The public is reminded that an indictment is only an accusation and that the defendants are presumed innocent until proven guilty. However, the allegations in this case are serious and highlight the need for vigilance in preventing and detecting health care fraud. The case will now proceed to trial, where the defendants will have the opportunity to respond to the charges and present their defense.
For additional information, contact Public Information Officer Kenneth Gales at 414-297-1700. The U.S. Attorney’s Office for the Eastern District of Wisconsin is committed to combating health care fraud and protecting the public from fraudulent schemes. Follow us on Twitter for updates on this and other cases.
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Key Facts
- State: Wisconsin
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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