Raleigh, North Carolina – A high-ranking executive at a Raleigh healthcare company has pleaded guilty to falsifying physician orders and submitting millions in false Medicare claims. Kala Sloan, 28, Vice President of Operations for Carolina Rehab Products, Inc. (CRP) and Blue File DMC, LLC (Blue File), pleaded guilty on today to making and using false healthcare writings and documents, and aiding and abetting in a scheme that bilked Medicare of $50 million between 2014 and 2021.
According to court documents, Sloan worked at the direction of Tanya Parrish Grant, 51, CEO and Controller of CRP and Blue File, to forge and backdate physician orders. Grant, who pleaded guilty to healthcare fraud in July 2022, orchestrated the scheme to deceive Medicare auditors and prevent them from recouping money from the companies.
As part of the scheme, Sloan prepared blank prescription templates that were used to mimic the orders that should have been in patient files. The forged documents were then submitted to Cigna, a Medicare Advantage insurer, during an audit in October 2020. CRP did not have sufficient medical records to justify the billing, and Grant directed Sloan to create the false documents to deceive auditors.
Sloan faces a maximum of up to five years in prison for her role in the scheme. The United States Department of Health and Human Services Office of the Inspector General and the Federal Bureau of Investigation investigated the case, with Assistant U.S. Attorneys William M. Gilmore and Karen Haughton prosecuting.
The scheme was uncovered during an audit conducted by Cigna in October 2020, which found that CRP did not have sufficient medical records to justify the billing. The investigation revealed that the companies had billed Medicare for millions of dollars without shipping the products.
The case serves as a reminder of the importance of transparency and accountability in the healthcare industry. Medicare relies on accurate and honest reporting from healthcare providers to ensure that patients receive the care they need.
Kala Sloan, 28, Vice President of Operations for Carolina Rehab Products, Inc. and Blue File DMC, LLC, pleaded guilty to making and using false healthcare writings and documents, and aiding and abetting.
Defendant: Kala Sloan
Criminal Charges: Making/Using False Healthcare Writings and Documents, Aiding and Abetting
City and State: Raleigh, North Carolina
Exact Date: today
Sentence or Outcome: Faces up to five years in prison
Dollar Amounts: $50 million
Key Facts
- State: North Carolina
- Category: White Collar Crime
- Source: DOJ Press Release â†â€â€
ðŸâ€Â’ Get the grimiest stories delivered weekly. Subscribe free →
MORE FEDERAL CRIME NEWS
US NewsUS NewsUS NewsUS News