A Middle Tennessee podiatrist has admitted to running a cold, calculated scam on federal health programs, filing false claims for medical procedures he never performed. Dr. Charlton Peter, 59, of Lewisburg, Tenn., pleaded guilty yesterday to two counts of health care fraud, according to David Rivera, United States Attorney for the Middle District of Tennessee.
At a packed federal courtroom in Nashville, Peter stood before U.S. District Judge Waverly D. Crenshaw, Jr. and confessed to billing Medicare and Medicaid for nail avulsions — a covered surgical procedure — while delivering nothing more than routine toenail clipping. The deception was deliberate: nail avulsions are reimbursable; basic foot grooming is not. Peter exploited that difference, pocketing taxpayer dollars for services that existed only on paper.
The fraud wasn’t incidental — it was systematic. Over a sustained period, Peter submitted claims for procedures that required anesthesia, sterile instruments, and post-op care, none of which were administered. Patients received standard care, often elderly or disabled beneficiaries on fixed incomes, while Peter padded his practice’s revenue through outright lies to federal insurers.
If convicted, Peter faces up to 10 years in prison and a $250,000 fine for each count of health care fraud. He has also agreed to forfeit $122,691, the total proceeds traced directly to his fraudulent billing scheme. Sentencing is scheduled for March 3, 2017, when Judge Crenshaw will weigh the U.S. Sentencing Guidelines and federal statutes before imposing punishment.
The case was cracked open by investigators from the Department of Health and Human Services – Office of Inspector General and the Tennessee Bureau of Investigation Medicaid Fraud Unit. Their joint probe peeled back layers of falsified patient records, coded billing entries, and mismatched treatment logs — evidence that left Peter with no avenue of denial.
Assistant U.S. Attorney Thomas J. Jaworski is handling the prosecution. ‘Fraud like this doesn’t just break the law,’ Jaworski said. ‘It drains resources meant for the sick and elderly, and it betrays the trust patients place in their doctors.’ For Peter, the white coat no longer shields him from justice.
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Key Facts
- State: Tennessee
- Agency: DOJ USAO
- Category: Fraud & Financial Crimes
- Source: Official Source ↗
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