New York Woman Convicted of $8 Million Healthcare Fraud Scheme
A New York woman has been found guilty by a federal jury in the Eastern District of New York for her involvement in an $8 million healthcare fraud conspiracy. Olga Popovych, aged 43, served as an office manager at several physical therapy clinics in New York City. Court evidence revealed these clinics paid cash kickbacks to ambulette drivers for transporting Medicare patients to their facilities, a scheme Popovych managed by personally handling the cash payments. She also falsified medical records to claim treatments by absent physical therapists, resulting in Medicare disbursing over $8 million based on these fraudulent claims.
During the trial, witnesses testified that Popovych used coded language in text messages to communicate with co-conspirators about the kickbacks. Evidence further indicated that she attempted to conceal these fraudulent activities due to suspicions of law enforcement surveillance.
Popovych was convicted on several charges: conspiracy to commit healthcare fraud, conspiracy to make false healthcare statements, four counts of healthcare fraud, and three counts of making false healthcare statements. Each count of healthcare fraud could lead to a maximum sentence of 10 years, while making false statements carries a potential maximum of 5 years. Sentencing will be determined by a federal district court judge following an evaluation of the U.S. Sentencing Guidelines and other statutory considerations.
High-Level Announcements and Investigation
The conviction announcement was made by top officials, including Assistant Attorney General Colin M. McDonald from the Justice Department’s National Fraud Enforcement Division and U.S. Attorney Joseph Nocella, Jr. for the Eastern District of New York. Representatives from the U.S. Department of Health and Human Services Office of Inspector General (HHS-OIG) and the FBI were also present.
The investigation was spearheaded by the HHS-OIG and the FBI. Trial Attorneys from the Criminal Division’s Fraud Section led the prosecution, assisted by the Justice Department’s Health Care Fraud Strike Force Program. Since its inception in 2007, the program has charged over 6,200 defendants, holding accountable those responsible for more than $45 billion in fraud against federal healthcare programs and private insurers. More details on healthcare fraud enforcement actions are available on the Justice Department’s websites.