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Maxim Healthcare Services Charged with Healthcare Fraud
NEWARK, N.J. – Maxim Healthcare Services Inc., one of the nation’s leading providers of home healthcare services, has entered into a settlement to resolve criminal and civil charges relating to a nationwide scheme to defraud Medicaid programs and the Veterans Affairs program of more than $61 million.
Maxim, a privately-held company based in Columbia, Md., with hundreds of offices throughout the United States, was charged today in a criminal complaint with conspiracy to commit healthcare fraud. The company has entered into a deferred prosecution agreement (DPA) with the government, which will expire in 24 months if the company meets all of its reform and compliance requirements.
As required by the DPA, Maxim has agreed to pay a criminal penalty of $20 million and to pay approximately $130 million in civil settlements in the matter, including to federal False Claims Act claims. The investigation revealed that the submission of false bills to government healthcare programs was a common practice at Maxim from 2003 through 2009.
To date, nine individuals – eight former Maxim employees, including three senior managers and the parent of a former Maxim patient – have pleaded guilty to felony charges arising out of the submission of fraudulent billings to government healthcare programs, the creation of fraudulent documentation associated with government program billings, or false statements to government healthcare program officials regarding Maxim’s activities.
“Fraudulent billing for services not rendered uses patients as pawns in a game of corporate greed that puts cash over care and wastes precious taxpayer dollars,” said Assistant Attorney General West. “At a time when we’re all looking for ways to reduce public expenditures, settlements like this one recapture taxpayer dollars lost to fraud and abuse, and help ensure that funds are available for the vital healthcare programs and services that people depend on day in and day out.”
Maxim Healthcare Services, Healthcare Fraud, New Jersey 2024
Key Facts
- State: Federal
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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