adminIn September 2018, Robert Madonna, 36, a former mortgage consultant residing in Margate, New Jersey, pleaded guilty to conspiring to commit health care fraud. Madonna was implicated in a scheme that defrauded New Jersey state health benefits programs and other insurers by submitting fraudulent claims for medically unnecessary compounded medications.
Scheme Details:
- Recruitment and Compensation: From May 2015 through February 2016, Madonna and his co-conspirators recruited public employees—including teachers, firefighters, and police officers—to obtain expensive, medically unnecessary compounded medications. In exchange, recruiters and individuals received financial incentives.
- Financial Impact: The fraudulent activities led to the payment of millions of dollars by New Jersey state health benefits programs and other insurers for these unnecessary medications.
Legal Proceedings:
- Plea Agreement: Madonna agreed to forfeit $179,370 in criminal proceeds and was ordered to pay restitution of nearly $2.1 million to the defrauded programs.
- Potential Sentencing: He faces a maximum prison term of 10 years, with sentencing guidelines suggesting a term of 46 to 57 months. Sentencing was scheduled for December 2018
Madonna’s guilty plea is part of a broader investigation that has led to multiple convictions, including those of doctors, firefighters, and teachers, highlighting the extensive nature of the fraud scheme.
Please note that legal proceedings are ongoing, and details may evolve as new information emerges.
