A Missouri man was sentenced to 10 years for masterminding a $174 million scheme to deceive Medicare, a fraud involving claims for cancer and cardiovascular genetic testing supposedly necessary for unsuspecting Medicare beneficiaries. The defendant, McNamara, aged 50, will also face 3 years of supervised release after serving his prison term. The case was reported by U.S. authorities.
“The complex fraud operated out of several labs in Louisiana and Texas was designed to siphon federal dollars on a massive scale. McNamara, pulling strings from behind the scenes, pushed telemarketers to aggressively hawk genetic tests to Medicare patrons. These tests were often unwarranted, given that the orders were signed by doctors over telemedicine platforms without the necessary interactions to properly assess the beneficiaries' medical needs.”
The scheme relied on multiple laboratories and involved illegal kickbacks and shifting billing between labs to evade Medicare’s oversight. In approximately eighteen months, the operation submitted Medicare claims totaling over $174 million, with a recovery of upwards of $55 million in restitution.
Missouri man sentenced to a decade in prison for orchestrating a large Medicare fraud scheme tied to unnecessary genetic testing, backed by kickbacks and telemarketing across multiple labs.