Joe White Indicted for $785,655 Health Care Fraud Scam

TYLER, Texas – Dr. Tariq Mahmood’s former CFO, Joe White, has been slammed with charges for a $785,655 health care fraud scheme in the Eastern District of Texas, according to U.S. Attorney John M. Bales.

White, 66, of Cameron, Texas, was indicted by a federal grand jury on Jan. 22, 2014, for making false statements to Centers for Medicare and Medicaid Services (CMS) and aggravated identity theft. The charges stem from allegations that White falsely attested Shelby Regional Medical Center’s (Shelby Regional) compliance with meaningful use requirements for the 2012 fiscal year.

According to the indictment, White directed data input into electronic health record (EHR) software months after patient discharge, misleading CMS about Shelby Regional’s actual usage of Certified Electronic Health Record Technology. The deceitful move netted Shelby Regional $785,655 from CMS. Including Shelby Regional, Dr. Mahmood’s hospitals were paid a total of $16,794,462.66 over two fiscal years for false claims.

Special Agent in Charge Mike Fields of the U.S. Department of Health and Human Services Office of Inspector General’s Dallas Regional Office warns, “As federal funds pour into Electronic Health Record systems, we expect to see more cases like this.” White faces up to five years in federal prison for making a false statement and two years for identity theft.

The investigation is being conducted by the U.S. Department of Health and Human Services – Office of Inspector General (HHS-OIG), Texas Office of the Attorney General – Medicaid Fraud Control Unit (OAG-MFCU), and the Federal Bureau of Investigation. Assistant U.S. Attorney Nathaniel C. Kummerfeld and Special Assistant U.S. Attorney Kenneth C. McGurk are handling the prosecution.

A grand jury indictment is not evidence of guilt, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.

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