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Milagros Cruz Pleads Guilty to Medicare Fraud, Florida 2008
In a shocking turn of events, Milagros Cruz, a 42-year-old woman from south Florida, has pleaded guilty to her role in a massive Medicare fraud scheme involving physical and occupational therapy services.
According to court documents, Cruz conspired with others to submit false claims to Medicare for rehabilitation therapy services that were not prescribed by physicians and not provided to Medicare beneficiaries. As the president of CORF National Development, a rehabilitation therapy clinic located in Doral, Florida, Cruz paid cash kickbacks to Medicare beneficiaries in exchange for using their identifying information in the fraud scheme.
Cruz combined the Medicare beneficiaries’ identifying information with other billing information and provided it to other conspirators, who then converted the information into reimbursement claims submitted to Medicare in the name of a completely different clinic, Renew Therapy Centers of Port St. Lucie LLC.
From January through August 2008, Cruz’s clinic received approximately $90,950 from Renew Therapy in connection with the fraud scheme.
This case is being investigated by the FBI and the U.S. Health and Human Services Office of Inspector General (HHS-OIG) and was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Florida.
The Medicare Fraud Strike Force, which was established in March 2007, has charged more than 1,700 defendants who have collectively billed the Medicare program for more than $5.5 billion. The HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Cruz faces a maximum penalty of 10 years in prison when she is sentenced. The case is being prosecuted by Trial Attorney Christopher J. Hunter of the Criminal Division’s Fraud Section.
Key Facts
- State: Florida
- Category: Fraud & Financial Crimes
- Source: DOJ Press Release â†â€â€
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