GREENEVILLE, Tenn. — In a stunning blow to healthcare integrity, Monika D. Schorer and Teresa D. Schorer, twin sisters from Jonesborough, TN, along with Eric S. Smith of Bristol, Virginia, have been sentenced for their involvement in a bribery scheme at the VA Medical Center in Mountain Home, Tennessee.
The Honorable Clifton L. Corker, United States District Judge, has handed down sentences of eight months imprisonment and $10,000 fines to each defendant. Their supervised release term is three years following their prison terms. Monika and Teresa Schorer pleaded guilty to conspiracy to commit honest services wire fraud.
According to court records, the sisters were VA employees who accepted cash bribes from Smith and Landon Chester, enabling them to overbill the VA for unnecessary medical items. Smith and Chester also pleaded guilty to conspiracy to commit honest services mail fraud and bribery.
The bribes included cash-filled envelopes and promises of ownership in a Virginia limited liability company, Four Corners Medical Supply and Equipment LLC. The sisters were accused of allowing substantial fraud against the VA, setting up Four Corners in the government’s payment system, and providing Smith and Chester with non-standard assistance from their VA positions.
The Schorers must also make individual restitution to the VA in the amount of $213,154.50. Eric Smith received a sentence of one year and one day followed by three years of supervised release, paying $120,433.45 in restitution before sentencing. Smith and Chester are required to forfeit $185,422.10 seized during the investigation.
Special Agent in Charge Nate Landkammer emphasized that using government positions for profit through bribery is a serious offense. U.S. Attorney Francis M. Hamilton III vowed to hold accountable those who steal from veterans’ funds, stating this case as a warning against such actions.
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Key Facts
- State: Tennessee
- Agency: DOJ USAO
- Category: Public Corruption|White Collar Crime
- Source: Official Source ↗
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