Gustavo Kinrys, a 53-year-old Wellesley psychiatrist, has been sentenced to 99 months in prison for orchestrating a $19 million insurance fraud scheme that involved billing Medicare and private insurance companies for thousands of treatments he never provided.
According to the Department of Justice, Kinrys was convicted of seven counts of wire fraud, six counts of false statements relating to health care matters, and one count of obstructing a criminal health care investigation. The scheme, which took place between January 2015 and December 2018, involved Kinrys billing Medicare and private insurers $19 million for services he did not render, including $10.6 million for thousands of transcranial magnetic stimulation (TMS) sessions he never provided.
“Dr. Kinrys undermined the trust that our healthcare system relies upon,” said Acting United States Attorney Joshua S. Levy. “For years, he diverted millions of dollars in critical resources from those in genuine need of medical attention, relying on fraud to finance his luxury lifestyle. This defendant’s driving motivation was greed.”
Kinrys was also ordered to pay restitution and forfeiture in an amount to be determined at a later hearing. In addition to his prison sentence, Kinrys will serve three years of supervised release.
The Insurance Fraud Bureau of Massachusetts praised the collaboration of investigative partners in combatting fraud in the healthcare system. “This sentence represents that health care fraud is not tolerated in the Commonwealth of Massachusetts,” said Anthony M. DiPaolo, Executive Director of the Massachusetts Insurance Fraud Bureau.
Kinrys owned and operated Advanced TMS Associates, a medical practice located in Natick, Mass. The practice offered TMS therapy and psychotherapy to patients suffering from depression. TMS therapy is a noninvasive method of brain stimulation that uses rapidly alternating or pulsed magnetic fields to induce electrical currents directed at a patient’s cerebral cortex.
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Key Facts
- State: Massachusetts
- Agency: DOJ USAO
- Category: White Collar Crime|Fraud & Financial Crimes
- Source: Official Source ↗
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