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Local Psychotherapist Sentenced for $1 Million Health Care Fraud
KANSAS CITY, Mo. – In a shocking case of abuse, a licensed psychologist was sentenced to three years in federal prison without parole for engaging in a $1 million scheme to defraud Medicare and Medicaid.
Rhett E. McCarty, 67, of Lake Ozark, Mo., was found guilty of health care fraud and forgery. The psychologist provided psychotherapy services to recipients of both Medicare and Medicaid in their homes in the Lebanon area.
Between Sept. 17, 2008, and April 5, 2012, McCarty submitted Medicare and Medicaid claims for daily or near daily psychotherapy services to 19 beneficiaries for which he was paid $1,276,334. According to the claims that McCarty submitted, he routinely saw beneficiaries seven days per week and worked long hours every day.
However, McCarty admitted that he did not see those beneficiaries more than once a week. The amount he was paid by Medicare and Medicaid for services he did not provide to these 19 beneficiaries was $1 million.
Furthermore, McCarty admitted that he forged (or caused another person to forge) the signatures of five of the beneficiaries on patient sign-in sheets in order to obtain $418,507 in Medicare and Medicaid payments.
The case was prosecuted by Assistant U.S. Attorney Lucinda S. Woolery. It was investigated by Health and Human Services – Office of Inspector General, the FBI and the Medicaid Fraud Control Unit.
“Those who defraud the government are stealing from the pockets of law-abiding taxpayers,” said Tammy Dickinson, United States Attorney for the Western District of Missouri. “This psychologist flagrantly abused the system to enrich himself for more than three years, but today he is being held accountable for his actions.”
The court also ordered McCarty to pay $1 million in restitution to Medicaid and Medicare. The case serves as a reminder of the importance of accountability in the healthcare system.
Defendant’s Name: Rhett E. McCarty
Criminal Charges: Health care fraud and forgery
City and State: KANSAS CITY, Mo.
Date: Aug. 16, 2012
Sentence: Three years in federal prison without parole
Dollar Amount: $1,276,334
Dollar Amount: $1 million
Key Facts
- State: Missouri
- Category: Health Care Fraud
- Source: DOJ Press Release â†â€â€
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